Prof Bokpin Backs Bawumia’s Criticism of New “Dumsor Levy,” Calls Economic Concerns Legitimate
Economist and Professor of Finance at the University of Ghana, Godfred Bokpin, has lent credence to Dr Mahamudu Bawumia’s recent criticism of the newly introduced “Dumsor Levy,” describing the concerns raised by the former Vice President as economically justified.
Speaking on JoyNews’ Newsfile programme over the weekend, Prof Bokpin noted that the policy, passed under a certificate of urgency, raises pertinent economic issues deserving of broader scrutiny.
“Looking at it, he has a point for saying what he has said,” Prof Bokpin stated, referencing the Energy Sector Levy (Amendment) Bill, 2025, which introduced a GH¢1 per litre levy on petroleum products.
The new levy, introduced by the NDC government, is aimed at raising funds to address the country’s US$3.1 billion energy sector debt and ensure a stable power supply. However, it has been met with fierce criticism from the opposition New Patriotic Party (NPP), with its flagbearer, Dr Bawumia, accusing the government of double standards.
Addressing party supporters in Cape Coast during his ‘Thank You Tour’ of the Central Region, Dr Bawumia lashed out at the NDC, accusing the party of inconsistency and political dishonesty.
“The NDC has told a lot of lies. Everyone sees their lies every day. Last night, I hope you all saw it. They have introduced a Dumsor Levy,” Dr Bawumia remarked, urging Ghanaians to brace for more taxes.
The policy, which has been widely described as a “Dumsor Levy,” comes in the wake of the NDC’s campaign promise to abolish the controversial E-levy, which they did upon assuming office.
Defending the newly introduced levy, Finance Minister Dr Cassiel Ato Forson noted that government urgently requires at least US$3.7 billion to clear legacy debts in the power sector, as well as an additional US$1.2 billion to keep thermal power plants running in 2025.
But the Minority in Parliament has dismissed the policy as a “predatory tax” that would cost households and businesses approximately GH¢5.7 billion annually. They have further criticised the speed at which the legislation was passed and are demanding full transparency and accountability in the management of the funds.
The debate surrounding the levy has reignited longstanding concerns over the sustainability of Ghana’s energy sector financing and the persistent recourse to taxation to resolve structural inefficiencies.
