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George Kwame Aboagye, the Ranking Member on Parliament’s Energy Committee, has called on the government to temporarily suspend the GH¢1 fuel levy to help alleviate the financial strain on consumers amid rising fuel costs.
Speaking on TV3’s Hot Issues on Sunday, April 19, 2026, the MP for Asene/Manso/Akroso emphasized that the ongoing fuel price discussions should clearly differentiate between statutory taxes and other operational margins. He stressed that relief measures should focus on the direct tax components, particularly the GH¢1 fuel levy, rather than other non-tax components.
Aboagye suggested that suspending the levy for a period of one to three months could significantly reduce the financial burden on households and businesses without causing severe disruptions to government operations.
“We’re talking about taxes here. What the NPA is giving away is not taxes, and what BOST is giving away is not taxes. What we’re really talking about is taxes, particularly the GH¢1 fuel levy. It would be easier to temporarily remove that,” he explained. “We’re not asking for it to be abolished; we’re just saying suspend it for maybe one or three months, considering the tough times we are facing.”
The legislator also pointed out that taxes make up roughly 40% of the fuel price. Even a modest reduction in this portion could provide significant relief to consumers. “If even 10% of that goes away, will the country grind to a halt? We survived COVID-19, so the government can certainly take steps to help us through these difficult times,” he added.
Aboagye urged the government to take swift action, emphasizing that temporary fiscal adjustments could help stabilize the situation and provide relief to the public.
Meanwhile, Cabinet has directed Finance and Energy Ministers, Cassiel Ato Forson and John Jinapor, to remove taxes and margins from fuel prices. This decision is set to take effect from the next pricing window, which began on April 16, 2026.
Government Spokesperson Felix Kwakye Ofosu confirmed the Cabinet decision following an emergency meeting on April 9. He stated, “The Finance and Energy Ministers have been tasked with removing taxes and margins on petroleum prices in the next pricing window.”
He further explained that these measures would be in place for an initial period of four weeks, with the situation being reviewed afterward. “The reduction or removal of taxes and margins will lead to a drop in fuel prices, and after the four weeks, the government will assess the situation and take appropriate actions,” he added.
This intervention aims to ease the impact of rising fuel prices, which have been exacerbated by the ongoing US-Israel-Iran conflict.
Additionally, the government announced that it would absorb GH¢0.36 per litre on petrol and GH¢2.00 per litre on diesel, effective from April 16, 2026. The new prices will result in petrol being GH¢0.36 cheaper and diesel GH¢2.00 less.
In a statement issued on April 15, Felix Kwakye Ofosu stated, “This intervention is designed to ease the cost burden on households, transport operators, and businesses, and help mitigate the effects of global fuel price volatility.”
Story by Efua Nessa
Source: Loco tv