New taxes justified - Afenyo-Markin

The deputy majority leader in Parliament, Mr. Alexander Afenyo-Markin, has justified reasons why the government has introduced new levies and taxes to help the economy recover from the shocks of the COVID-19 pandemic.

The government has announced it would be introducing new taxes including COVID-19 health levy, petroleum levy, sanitation and pollution levy as well as financial sector clean up levy.

Caretaker Minister, Osei Kyei-Mensah-Bonsu stated that: “Despite the substantial progress made by the Akufo-Addo Government, there is the need to find additional resources to cover the excess capacity charges that have resulted from the Power Purchase Agreements (PPAs) signed by the previous Government which required payments for capacity charges even when the plants involved were idle or unutilised.”

“Mr. Speaker, it has become very necessary for Government to consider a review of the energy sector levies. The Energy Sector Recovery Levy of 20 pesewas per litre on petrol/diesel under the ESLA is hereby submitted to this House for approval”.

The Minority Leader, Haruna Iddrisu described the government as insensitive, accusing it of mismanaging the economy and introducing new taxes.

He predicted extreme hardship for Ghanaians.

But Mr. Afenyo Markin in responding said the government needed the new taxes for efficient management of the economy.

“Look at the over GHS 21 billion that government had to give out to those who lost their investments and the social interventions the government had to give out to Ghanaians due to the COVID-19 pandemic and all these have to funded.”