Liquified Petroleum Gas Marketing Companies in the country are demanding for the repeal of the Ghs 0.18 pesewas new tax imposed on the consumption of every kilogram of gas.
A statement issued by the Liquified Petroleum Gas Marketing Companies Association of Ghana, noted the introduction of the new tax defeats government’s policy to increase the penetration of LPG from 25 to 50 percent by 2030.
The association also believes the move by government also contradicts its quest to help the poor and alleviate poverty, as the increment will burden consumers.
“This increase in tax on LPG came as an unpleasant surprise to Ghanaians in general, and the LPG industry in particular, as it was communicated in paragraph 260 of the 2021 budget that the proposed energy sector recovery would only affect petrol and diesel,” read part of the statement.
Speaking in a media interaction, Vice Chairman for the Association of LPG Marketing Companies, Gabriel Kumi, noted “LPG is a product with an elastic demand and that means that the only way you can increase consumption of the product is to decrease the price and not to increase it. But unfortunately we see government acting contrary to its own objective and we think that is not the way to go.”
Read below details of the statement:
