Techiman South Taxi Union urges government to scrap new Energy Sector Levy

Techiman South ,Taxi Union,, urges ,government, scrap, new, Energy Sector Levy,

The Chairperson of the Techiman South Municipal Taxi Drivers Union, Mr. J. B. Antwi, has called on the government to immediately withdraw the newly introduced Energy Sector Shortfall and Debt Repayment Levy, describing it as an undue financial burden on commercial drivers.

Speaking to the media, Mr. Antwi revealed that both taxi and ‘trotro’ (minibus) drivers across the municipality are deeply frustrated by the new policy, which imposes an additional GH₵1.00 charge on every liter of fuel purchased.

“I have been receiving a lot of complaints from drivers in the municipality both taxi drivers and ‘trotro’ drivers who are bitterly unhappy. We believed in the capabilities of the current government, which is why we voted overwhelmingly for them. However, this new Sector Shortfall and Debt Repayment Levy is a harsh burden for us drivers.” He stated

He further criticized the lack of stakeholder consultation prior to the announcement of the levy, especially at a time when drivers were recently directed by authorities to reduce transport fares.

Mr. J.B Antwi appealed to President John Mahama and his administration to reconsider the levy, reminding them of the strong electoral support they received from commercial drivers in the 2024 general elections.

“There was no consultation. After the government told us to reduce lorry fares, they are now introducing a new levy that will require us to pay GH₵1.00 for every liter of fuel we buy. This is very worrying for us. It means we may end up spending almost all our income on fuel.

“We are pleading with President John Mahama and his government to reconsider this Sector Shortfall and Debt Repayment Levy. The government should remember that drivers also voted massively for him in the 2024 general elections, and we are not happy with the introduction of this new levy.

“Let us not forget that the previous government lost the election due to the numerous taxes they implemented. I urge the current government not to repeat those same mistakes.” He said.

Meanwhile, the Ghana Revenue Authority (GRA) is set to begin a series of stakeholder engagements this week with Oil Marketing Companies (OMCs) and other key industry players to clarify implementation procedures ahead of the levy’s enforcement in the second pricing window of June 2025.

The levy has also drawn criticism from Parliament. The Member of Parliament for Ofoase-Ayirebi, Hon. Kojo Vincent Oppong Nkrumah, described it as “one of the highest single-instance taxes ever implemented in Ghana,” urging a reassessment of the policy to avoid exacerbating the economic strain on citizens.

The Energy Sector Shortfall and Debt Repayment Levy is part of the government’s broader plan to address legacy debts within the energy sector, but its rollout is already generating significant public backlash, especially from transport operators and industry observers.

Source: Ghanaweb.mobi