The Ghana Revenue Authority (GRA) has announced that it will begin enforcing the new GH₵1 fuel levy on petroleum products effective Monday, June 9, 2025.
This move comes under the Energy Sector Levies (Amendment) Act, 2025 (Act 1141), which was passed to raise funds to settle energy sector shortfalls, reduce legacy debts, and stabilise power supply across the country.
According to Tariff Interpretation Order (TIO) No. 2025/003, issued by the Commissioner-General, Anthony Kwasi Sarpong, the new levy affects several key fuel products.
The GH₵1 fuel levy on petrol (motor spirit, super) and diesel (gas oil) will rise from GH₵0.95 and GH₵0.93 respectively, to GH₵1.95 and GH₵1.93 per litre.
Marine gas oil and heavy fuel oil will also see increases, while liquefied petroleum gas (LPG) will maintain its previous rate of GH₵0.73.
Parliament has approved the Energy Sector Levy (Amendment) Bill, 2025, which introduces a GH¢1 fuel levy on every litre of petroleum products sold in Ghana.
The controversial bill was passed late Tuesday, June 3, 2025, despite fierce resistance from the Minority Caucus, who staged a dramatic walkout during the voting process.
According to the government, the new levy is projected to generate an additional GH¢5.7 billion in revenue each year.
This revenue is expected to be channelled towards addressing the staggering financial challenges of the country’s energy sector, including ballooning debts and fuel supply constraints for thermal power generation.
Dr Bawumia, speaking on the GH₵1 fuel levy introduced by the Mahama-led administration, sounded an alarm to Ghanaians, warning them to prepare for additional tax burdens.
Addressing NPP supporters during his thank-you tour of the Central Region, Dr. Bawumia issued a stark warning, urging them to prepare for a harsh tax regime under the Mahama administration.
“They have brought something called dumsor levy; this is eight times E-Levy. So if you buy fuel for GH¢1000, you will pay dumsor levy of GH¢83. Just prepare, is there more to come?” he said.
The GRA has directed all petroleum sector stakeholders to comply strictly with the new rates.
Petroleum products lifted before June 9, 2025, will be charged the old levy rates.
However, all cash-and-carry transactions where products are lifted on or after the effective date will attract the revised levies.
The government insists the levy is crucial for the financial recovery of Ghana’s energy sector.