This will drain every pocket – COPEC slams new GH¢1 tax
The Executive Secretary of the Chamber of Petroleum Consumers (COPEC), Duncan Amoah, has launched a scathing critique of the government’s new GH¢1 levy on every litre of petroleum products, warning that it will place a heavy burden on all Ghanaians.
In a media interview, Mr. Amoah described the tax as “counterproductive” and “a direct hit on the pockets of struggling citizens”, especially at a time when the cost of living remains high and that its consequences would be severe for all Ghanaians.
“This move is clearly a case of creating holes in our pockets and taking whatever you find; it doesn’t help,” he said.
This comes after Parliament approved the Energy Sector Levy (Amendment) Bill, 2025, which introduces a GH¢1 levy on petroleum products.
This controversial bill, which aims to raise additional revenue to address the nation’s severe energy sector debt and ensure a stable power supply, was passed on Tuesday, June 3, 2025.
The government has defended the levy as a necessary step to address the energy sector’s crippling US$3.1 billion legacy debt.
But Mr. Amoah insists the focus should instead be on fixing the root causes of inefficiencies and financial losses within the sector.
“For me, whatever we need to do to stop the bleeding of the power sector, that should be our key focus at this point,” he stressed.
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He expressed deep concern over the impact of the tax on fuel prices, noting that any small relief Ghanaians may have felt from recent price drops will now be completely wiped out.
“This week, we were happy about the minor reduction in fuel prices, even though it was far from enough. But now, with this GH¢1 levy, we’re right back where we started or worse. Those selling fuel at GH¢12.52 will now sell at GH¢13.52. Add other market factors, and we’ll return to the high price levels that sparked public outcry earlier,” he cautioned.
Mr. Amoah concluded with a stark warning: “Throughout the year, we can’t guarantee that fuel prices will stay down. And with the cedi still falling, this tax could have dire consequences for all of us”.