Pay higher electricity tariffs or support fuel levy — Vanderpuye

The National Coordinator of the District Road Improvement Programme (DRIP), Nii Lantey Vanderpuye, has urged Ghanaians to rally behind the newly approved GHS1 fuel levy, warning that without it, the alternative could be a 50% increase in electricity tariffs.

Speaking on Channel One TV’s Breakfast Daily on Thursday, June 5, Vanderpuye described the levy as a proactive and necessary measure to generate revenue for stabilising power supply without directly burdening consumers through increased electricity pricing.

“This levy is meant to resolve a problem that we have created ourselves, because if we do not do that, realistically, what we are saying is that we must pay 50% more for electricity. You would want to pay 50% more for electricity, or you would contribute to the 1 cedi, or, cumulatively, we can resolve the problem instead of shifting into the pricing of electricity,” he explained.

The Energy Sector Levy (Amendment) Bill, 2025—passed by Parliament on June 3—introduces a GHS1 per litre charge on petroleum products. The government expects to raise approximately GHS5.7 billion through the levy to address mounting energy sector debts and ensure the steady procurement of fuel for thermal power plants.

Finance Minister Dr. Cassiel Ato Forson revealed that the energy sector is burdened with a $3.1 billion debt, with an additional $3.7 billion required to clear arrears. Furthermore, $1.2 billion will be needed to secure fuel supplies for the 2025 fiscal year.

Vanderpuye emphasised that the goal is not to add pressure on citizens but to prevent the return of erratic power supply—popularly known as dumsor—which would plunge households and businesses into uncertainty.

“It is either tariffs or taxes. So we thought that there is a need for us to have this tax to generate revenue to meet the demands, so that we do not increase the tariff,” he said.