GHC1 Fuel Levy a Necessary Pain to Save Energy Sector — Prof. Patrick Asuming

Renowned economist Professor Patrick Asuming has urged Ghanaians to accept the newly introduced GHC1 fuel levy, emphasizing its importance in addressing Ghana’s long-standing energy sector crisis.

Speaking on The Big Issue on Channel One TV on Saturday, June 7, Prof. Asuming said the Energy Sector Levy (Amendment) Bill, 2025—recently passed by Parliament—is a painful but necessary step to safeguard the country’s energy future.

“As Ghanaians, we know the problems in the energy sector, and we’re better off accepting the GHC1 per litre levy, if it is indeed going to fix the problem, than wait for the whole thing to come crashing down on us,” he said.

The levy, expected to generate GHC5.7 billion annually, is aimed at settling energy sector debts and enhancing power supply reliability.

Prof. Asuming warned that without swift intervention, broader government programmes such as industrialisation and the proposed 24-hour economy would be at risk of failure.

“Everybody knows that if we don’t deal with the energy sector problems, we’re not going anywhere,” he added. “We can have all the big plans, but if energy remains unstable, nothing else will work.”

While backing the levy in principle, he criticised the poor communication surrounding its rollout.

“My only issue is the timing and how it has been presented. The confusion about whether it is fuel only or not doesn’t help,” Prof. Asuming noted.

The levy has triggered public debate, with supporters pointing to its potential to stabilise the energy sector, while critics, including consumer advocacy groups like COPEC, argue it adds more economic pressure on citizens.

Nonetheless, Prof. Asuming believes that if transparently implemented and properly managed, the levy could be a game-changer in solving Ghana’s energy woes once and for all.