Deloitte Ghana has flagged the recently implemented GH₵ 1 fuel levy as a potential inflation accelerator, cautioning that the tax measure could intensify transport and fuel cost burdens on already strained consumers.
In its latest “West Africa Inflation” report, Deloitte described the levy unofficially known as the D-Levy on petroleum products as a key upside risk to the country’s inflation outlook.
“The implementation of the GH₵1 fuel levy i.e., the D-levy on petroleum products, is another upside risk that could increase fuel and transport costs,” the report noted.
The levy, introduced under the Energy Sector Levies (Amendment) Act, 2025 (Act 1141), aims to raise funds to address persistent shortfalls in the energy sector, reduce legacy debts, and stabilise power supply. Initially postponed over stakeholder concerns and global oil price volatility, it took effect on Wednesday, July 16, 2025.
Per Tariff Interpretation Order (TIO) No. 2025/003 issued by the Ghana Revenue Authority (GRA) Commissioner-General, Mr. Anthony Kwasi Sarpong, the levy has triggered upward adjustments on multiple fuel products.
Petrol (motor spirit, super) tax has risen from GH₵0.95 to GH₵1.95 per litre, while diesel (gas oil) has increased from GH₵0.93 to GH₵1.93 per litre. Marine gas oil and heavy fuel oil also saw increments, though the levy on liquefied petroleum gas (LPG) remains unchanged at GH₵0.73 per litre.
The GRA has directed all petroleum sector operators to comply with the new tariff structure, clarifying that products lifted before June 9, 2025, attract old rates, while those lifted on or after implementation are subject to the revised levies.
Despite inflation concerns, the government insists the levy is crucial to restoring financial stability in the power sector. However, Deloitte’s analysis underscores a looming risk of heightened consumer price pressures if fuel and transport cost hikes ripple across the economy.
