Baring any last-minute U-turn, government will from today start the implementation of the Energy Sector Levies (Amendment) Act, 2025 (Act 1141).
This will allow the Mahama administration to increase fuel prices by GH¢1 per litre at the pumps, which will amount to GH¢4.5 per gallon.
The Ghana Revenue Authority (GRA) announced the implementation of the law will take full effect from July 16, 2025, following a one-month postponement to assess global market trends.
The revised levies will introduce significant increases for other key petroleum products.
For instance, petrol (motor spirit) will see its Energy Sector Shortfall and Debt Repayment Levy (ESSDRL) rise from GH¢0.95 to GH¢1.95, while diesel (gas oil) increases from GH¢0.93 to GH¢1.93.
Marine Gas Oil (MGO) for foreign vessels will similarly jump from GH¢0.93 to GH¢1.93, even though locally used MGO sees a smaller adjustment from GH¢0.03 to GH¢0.23.
Furthermore, heavy fuel oil levies will rise from GH¢0.04 to GH¢0.24.
Notably, liquefied petroleum gas (LPG) and naphtha remain unchanged at GH¢0.73, exempt from the latest adjustments.
Moves to reduce public anger
Ahead of the implementation of the levy, President John Dramani Mahama yesterday directed the immediate cancellation of fuel allowances and fuel allocations for all political appointees as part of broader measures to reduce government expenditure.
The move, he according to government, aims at redirecting public funds to priority areas while ensuring that leadership shares in the sacrifices demanded of citizens.
“The President believes that leadership must also bear its part of the sacrifices it is calling on the people to make,” Mr Felix Kwakye Ofosu, Minister in Charge of Government Communication and Presidential Spokesperson announced in a statement issued yesterday.
The Presidency emphasised that these steps are necessary to curb unnecessary spending and promote fiscal discipline.
However, political watchers believe the cancellation of the fuel allocations may be a temporal measure by government to reduce public anger over the implementation of the Dumsor-levy.
GRA’s explanation
In an official statement signed by the Acting Commissioner-General Anthony Kwasi Sarpong, the GRA referenced its earlier notice on June 13, 2025, which deferred the levy’s implementation after consultations with the Ministry of Finance and the Ministry of Energy.
The delay, the Authority explained, was necessary to monitor international market fluctuations and preserve recent stability in local fuel prices.
“Following a thorough review of prevailing market indicators and in line with the government’s commitment to ensuring stable economic conditions.
“The implementation of the Energy Sector Levies (Amendment) Act, 2025 (Act 1141), will now commence, effective 16th July 2025,” the GRA indicated.
It has accordingly instructed importers, distributors, and customs agents to comply fully with the new rates, confirming that the Integrated Customs Management System (ICUMS) has already been updated to enforce the changes automatically.
“Your cooperation is vital to the successful implementation of this critical revenue measure, which is essential for Ghana’s energy sector stability and overall economic development,” the statement emphasised.
The directive has been circulated to all ports, stations, and relevant customs departments, reinforcing the GRA’s commitment to integrity, fairness, and service in revenue mobilization.
