The Chamber of Petroleum Consumers-Ghana (COPEC), reveals the introduction of the two new energy levies by the government is very disappointing.
Speaking with the Vaultz News, the Executive Secretary of COPEC, Mr Duncan Amoah averred that government, with this proposed increase; is not being considerate of the hardship of the various fuel consumers across the country.
“It is very disappointing generally. Before the budget reading various Civil Society platforms, Ghanaians, the ordinary day person, the trotro driver, the taxi driver. And anybody that uses fuel to and from work had seen some spots of increase in prices. And it was our expectation and hope that government will be concerned about these increases.”
Duncan Amoah
His comment comes on the back of government proposing a 5.7% percent increase in petroleum prices which will result in 30 pesewas increase.
“And so, what people were looking forward to; is how government was going to propose to deal with these increases that we had witnessed as a public. Unfortunately, what eventually became the topical highlights was that; government decided in the face of all these increases to add additional 20 pesewas to ESLA and further 10 pessewas for pollution.”
Duncan Amoah
Consumers Expectation Dashed
Mr. Amoah also posited that, consumers were expectant of a solution to the already unpleasant increase by the government. But were unfortunately met with another increase after the 2021 financial budget was read. He also revealed that, Ghana is one of the highest selling petroleum products in the subregion.
Furthermore, Mr. Amoah indicated that, the chamber has the intention of doing anything possible to get Parliament to reject and throw out the increases by not approving it especially with their role of being representatives of fuel consumers.
“We think that the insensitivity will be worsened if Parliament goes on to approve these obnoxious increases that the budget is proposing to slap on all of us.”
Duncan Amoah
He also noted that, government cannot discuss revenue when it has, as a country, left a lot of avenues for people to bypass the system and take away revenue that the state could have made. Additionally, he noted that, the nation has over the past five years been canvassing for the tightening of tax laws in respect of petroleum products.
Ghana Loses GHC1.9 billion to Fuel Smuggling and Tax Invasions
Moreover, he disclosed that, an industry report released by the chamber of bulk oil distribution companies indicated that Ghana lost GHC1.9 billion in 2019 through fuel smuggling and tax evasion.
“Annually, Ghana is believed to lose GHC1.4 billion to GHC1.6 billion in taxes downstream. Government would have redeemed it but this, unfortunately ends up in people’s private pockets.
“With the two levies proposed, Ghana is expected to make a meagre GHC1.2 billion annually. You cannot allow GHC1.9 billion to go into private pockets. Only to come back to the already suffering Ghanaians and demand for GHC1.2 billion. That which you could have made in excess if only you had stopped your cronies and other high-ranking government persons probably involved in this illegal fuel trade. If you stop the trade, you could rake in GHC1.9 billion extra instead of the GHC1.2 billion that this new hardship is going to impose or slap on all Ghanaians.”
Duncan Amoah
