PrimeNewsGhana

COPEC to meet gov't over fuel price increment

By Justice Kofi Bimpeh
Duncan Amoah
Duncan Amoah

The Chamber of Petroleum Consumers (COPEC) will this week meet with the government to request a review of the increase in the Energy Sector Levies (ESLA).

The Chamber earlier announced that its members will protest at the Finance Ministry to ensure the new levy is scrapped if dialogue fails.

The government announced the introduction of the levy in the 2019 mid-year budget review to enable it raise more revenue to defray the energy sector legacy debt.

But Duncan Amoah, the Executive Secretary of COPEC in an interview with Citi FM said his outfit will do everything possible to get the decision reversed.

“We will officially request to meet the ministry, request to meet government, request to meet the energy ministry and attempt some dialogue.”

“If, however, all these fail then clearly, we will have to resort to what we have done all over the period; a protest. A legitimate protest,” he added.

Mid-year budget review : Petrol, diesel up by GHp20

The Finance Minister, Ken Ofori Atta, during the 2019 mid-year budget review announced an increment in the Energy Sector Levies.

Mr. Ofori Atta announced that Ghanaians will have to pay GHp20 more for a litre of petrol and diesel and GHp 8 more for a kg of LPG.

“Mr. Speaker, you may recall that Government in 2017 issued the Energy Sector Levy Act (ESLA) Bond, which has, to date, raised almost GHS 6 billion on the back of ESLA levies to pay for legacy debts from the NDC’s “dumsor days”.

“The bond proceeds were used to liquidate approximately 60% of the energy sector legacy debts. Government proposes to increase the Energy Sector Levies by GHp 20 per litre for petrol and diesel and GHp 8 per kg for LPG, so as to increase the inflows to enable Government issue additional bonds to pay down our energy sector debt obligations.

“Based on current indicative prices for petrol and diesel this translates to GHp 90 per gallon.”

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