Audio By Carbonatix
The CEO of the Association of Oil Marketing Companies (AOMCs) has questioned the impact of the Energy Sector Levy Act (ESLA), after Parliament approved a new GH¢1 levy on petroleum products under the Energy Sector Levy (Amendment) Bill, 2025.
Dr. Riverson Oppong, speaking on Joy News’ PM Express with Evans Mensah on Wednesday, June 4, expressed frustration over the lack of transparency and tangible results from the existing levy, warning that simply piling more costs on fuel prices will not resolve Ghana’s power crisis.
“Last year alone, according to our table-top calculations, ESLA raised no less than GH¢9 billion,” he revealed. “And you’re going to ask yourself—where did the money go?”
Dr. Oppong said the electricity sector has long been supported by the downstream petroleum sector through levies like ESLA. But he believes the core issue is poor financial management, not a lack of revenue.
“It is not about increasing the ESLA or adding another GH¢1 to it that might solve the problem,” he stressed. “We need to understand what the exact problem is.”
He drew an analogy to underscore the point: “Building a storey building on a very soft foundation will cause a collapse.”
The new GH¢1 energy levy, approved by Parliament on June 3, is aimed at raising revenue to clear crippling legacy debts in the energy sector and ensure stable power supply.
But critics, including civil society groups and consumer advocates, say it will increase the cost of living without guaranteeing an end to power cuts.
Dr. Oppong did not oppose the principle of supporting the energy sector. However, he argued that such support must be backed by clear outcomes, transparency, and structural reform.
“The Energy Sector Recovery Programme (ESRP) was enacted to solve this particular problem,” he noted. “And yet, we still sit here discussing how to avoid what we might face in the near future.”
He also pointed to the human cost of persistent power outages, especially in a country with limited alternatives for households and small businesses.
“If you are an ordinary Ghanaian and you have your power off in the middle of the night when the weather is hot, it’s very painful,” he said.
“Even for the government, when there is ‘dumsor’, I don’t think it’s a sweet thing to have in the middle of the night.”
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