ASEC Commends Government for Removal of Fuel Taxes, Calls for Structural Energy Reforms
The Africa Sustainable Energy Centre (ASEC) has welcomed government’s decision to remove selected taxes and margins on petroleum products, describing the move as bold and timely amid prevailing global energy pressures.
According to the Centre, the policy intervention reflects a responsive and people-centred approach to energy governance, particularly at a time when rising fuel prices continue to exert pressure on households and businesses.
ASEC, in a statement issued by its Executive Director, Justice Ohene-Akoto, commended John Dramani Mahama and his administration for the swift implementation of the measure aimed at cushioning consumers.
The Centre noted that elevated petroleum prices have broader economic implications, extending beyond transportation to impact food prices, small business operations and the general cost of living.
It further indicated that Ghana is currently positioned to absorb such relief measures, citing windfall revenues from crude oil exports on the back of global prices exceeding the 2026 budget benchmark of $76.22 per barrel.
Despite the immediate relief offered by the policy, ASEC emphasised the need for sustained and strategic interventions to address structural challenges within the energy sector.
It, therefore, urged government to deepen intra-African petroleum supply partnerships, particularly with Nigeria, Republic of the Congo and Algeria, as part of efforts to reduce dependence on imports from the Middle East and enhance supply security.
ASEC also reiterated the importance of restoring and modernising the Tema Oil Refinery, noting that strengthening domestic refining capacity remains critical to reducing import exposure.
Additionally, the Centre called for the expansion of strategic petroleum reserves, renegotiation of oil revenue agreements, and modernisation of key infrastructure within the downstream petroleum sector.
On the long-term outlook, ASEC advocated increased investments in renewable energy sources, particularly solar and wind, alongside a gradual transition to cleaner energy technologies.
It further proposed the adoption of a hybrid energy strategy that balances current fossil fuel dependence with long-term sustainability objectives, including the promotion of electric mobility.
ASEC reaffirmed its commitment to supporting government, the private sector and other stakeholders in advancing policies that ensure energy security, affordability and sustainability.
