GHS 17.3bn Generated from Petroleum Taxes, Levies and Margins in 2024 – ACEP
Government generated approximately GHS 17.3 billion in revenue from taxes, levies, and margins applied to petroleum products in 2024, according to Kodzo Yaotse, Policy Lead for Petroleum and Conventional Energy at the Africa Centre for Energy Policy (ACEP).
The revenue streams include the BOST margin, Primary Distribution Margin (PDM), Energy Sector Debt Recovery Levy, Sanitation Levy, Road Levy, and Unified Petroleum Price Fund (UPPF), among others.
Speaking at a press conference on Wednesday, January 15, Mr. Yaotse noted that these revenues were largely derived from energy-induced consumption data asserting, “Cumulatively, in 2024, we raised an additional GHS 7.6 billion from margins, with GHS 9.7 billion coming from taxes and levies. For every litre of fuel consumed, these taxes and levies are applied. Specifically, 1,737 litres of products were accounted for margins, while 1,790 litres went towards levies and taxes,” he said.
Mr. Yaotse criticized the government’s allocation of petroleum revenue, highlighting that only the special petroleum tax directly supports energy consumption.
“The remaining levies are largely earmarked for addressing inefficiencies in the energy sector and servicing legacy debts,” he said. “For instance, the Energy Sector Debt Recovery Levy has failed to adequately reduce energy sector debt, which still stands at an estimated $3 billion despite consumer contributions.”
He further expressed concern over the introduction of a new margin in 2024, emphasizing that such additions only increase the financial burden on consumers without addressing inefficiencies in the sector.
ACEP called for greater transparency and accountability in the use of petroleum revenues, urging the government to redirect funds toward critical energy infrastructure and efficiency improvements rather than servicing “political sins of the past.”
The statement by Mr Yaotse underscores the growing debate about the sustainability and fairness of Ghana’s petroleum revenue management framework.
