ACCRA, Ghana – A new GH¢1 per liter fuel levy, widely known as the “D-Levy,” officially took effect across Ghana today, Wednesday, July 16, 2025. The implementation, confirmed by the Ghana Revenue Authority (GRA), is enacted under the Energy Sector Levies (Amendment) Act, 2025 (Act 1141), applying to every liter of petrol and diesel sold nationwide.
The government’s primary justification for the levy is to generate crucial revenue to mitigate the substantial financial shortfall plaguing Ghana’s energy sector and ensure a more stable power supply. This move follows prolonged public debate and a previous postponement of the levy’s introduction.
Ghana’s energy sector has faced persistent challenges, with the International Monetary Fund (IMF) projecting a significant shortfall of $2.2 billion by the end of 2025. This deficit is largely attributed to mounting losses at the Electricity Company of Ghana (ECG), delayed tariff adjustments, and rising power generation costs, particularly due to reliance on expensive liquid fuels.
The government has stated that the “D-Levy” is a necessary measure to address these burgeoning debts and procurement challenges within the sector. While the government hopes the levy will provide a much-needed financial injection, some critics have described it as a regressive tax, arguing that it places an undue burden on consumers already grappling with economic difficulties. Despite such concerns, the GRA has commenced enforcement of the levy as of today.
Ruth Abla ADJORLOLO
