The GHS1 rise in the fuel charge has been justified by President John Dramani Mahama, who has called it an essential and reasonable measure to stabilize Ghana’s energy sector.
Speaking about the reasoning for the decision, President Mahama emphasized that while he acknowledged the public’s worries, the decision was essential to ensuring Ghana’s energy future.
“This decision, though difficult, is necessary and justifiable,” he stated when the National Economic Dialogue Planning Committee presented its final report to him in Accra on Wednesday June 4.
The President restated that an estimated GHS5.7 billion will be generated each year from the charge.
He gave Ghanaians his word that the extra money would be ring-fenced and utilized only to address pressing energy-related challenges.
“This revenue will be strictly ring-fenced to pay down legacy debts, finance ongoing fuel purchases, and avert the risk of recurring power shortages,” President Mahama explained.
The levy, which is one of the provisions stated in the recently passed Energy Sector Levy (Amendment) Bill, 2025, intends to solve the power sector’s long-standing financial difficulties, as it now has over $3 billion in debt.
Government representatives insist that in the absence of such measures, the nation runs the risk of experiencing more power supply instability, which they claim will impede both public trust and economic growth.