Ghana’s newly introduced “Dumsor Levy” has come into effect, with GHS 1 added per litre of fuel to support the power sector.
The Energy Sector Levies (Amendment) Act 2025, passed under certificate of urgency, began implementation today, sparking widespread concern among transport operators, businesses, and ordinary commuters.
Critics have labelled the move as economically unfair, pointing out that over 77 % of fuel consumed is used in transportation—far more than in power generation.
The African Institute of Energy Sustainability (AIES), in a press release, condemned the levy as “unjust, economically flawed, and socially unfair.”
Dr Samiu Kwadwo Nuamah, Executive Director of AIES, warned that the measure would drive total fuel-related taxes above 33 %, escalating costs for goods, services, and living expenses for Ghanaians.
Opposition voices have also reacted strongly. Minority Leader Alexander Afenyo‑Markin described the government’s reversal on delay as a “shameful retreat” and called the rollout “trial-and‑error governance,” calling for immediate repeal of the law.
He and other critics contend the levy fails to address underlying causes of the US\$2.5 billion energy sector debt, blaming structural weaknesses like poor contracts and lack of efficient planning instead.
Despite defences from officials—including the suggestion that the levy stabilises power, repays debts, and ensures continuous energy supply—the policy remains divisive.
As Ghanaians adjust to the new cost burden, the debate is set to intensify, with calls for accountable, reform-based solutions to the country’s energy crisis, rather than further taxation.
