Audio By Carbonatix
A Professor of Finance at the University of Ghana Business School, Godfred Bokpin, has attributed the revenue shortfalls, particularly in the energy sector to the frequent political transactions shrouded in secrecy.
According to the economist, there is a staggering annual revenue shortfall of GH₵23 billion in the energy sector in the country and until the root causes are addressed, no new tax policy can be its panacea.
Speaking on JoyNews' PM Express, the Professor said political influence and opaque procurement processes are the key impediments to the country's inability to generate enough revenue.
"The problem is that politically connected transactions, inflate cost on the average Ghanaian and if we continue like that it doesn’t matter the level of adjustments there will always be losses," he said on Monday.
His assertions come in the wake of the government's decision to impose a 15% Value Added Tax (VAT) on residential electricity consumption.
Professor Bokpin further cautioned against the imposition of a 15% VAT on electricity as a panacea for the sector's woes.
He stressed that such measures would only serve as temporary fixes, failing to address the underlying issues of revenue generation.
The economist believed that should the Electricity Company of Ghana (ECG) operate independently and free from political interference, that can be realised.
On the same show, the Deputy Secretary General of TUC, Joshua Ansah, believed that this required a change of lifestyle on the part of the government.
He told host Evans Mensah that if the government manages it funds judiciously, then the country's economy would not have taken a nosedive for it to seek assistance from international bodies.
"If government changes its lifestyle, Ghana will never go begging for loan," he stated.
Latest Stories
-
Africa’s colonial ecological debt could exceed hundreds of trillions of dollars – Report
3 minutes -
Ibrahim Sulemana joins Sassuolo on loan from Atalanta
7 minutes -
Former UK Prime Minister Keir Starmer to stand down as MP to focus on world affairsÂ
13 minutes -
Built to Last, Left to Rot: Ghana’s maintenance crisis
19 minutes -
Number of debit cards issued by banks decreased by 11.8% to 5.7m in 2025
40 minutes -
Total mobile money transaction values grew by 50.8% to GH¢4.54trn in 2025
43 minutes -
Private aggregators, not state, will bear local refining costs – GoldBod
44 minutes -
Ablakwa urges African leaders to adopt new leadership paradigm to create opportunities for youth
50 minutes -
Photos: Mahama holds talks with Serbian President in Belgrade
59 minutes -
Local gold refining good for economy but costs must be controlled – Economist
60 minutes -
Keir Starmer announces he is standing down as MP
1 hour -
One still missing after Grand Canyon floods kill two and prompts rescue efforts
1 hour -
Mahama Ayariga calls for major overhaul of Ghana’s waste management system
1 hour -
GoldBod programme contributed just 1.3% to reserves increase – Amin Adam
1 hour -
Drive to Inspire–Africa equips UESD students with skills for future careers
1 hour