Bawumia criticizes new fuel levy

Former Vice President and New Patriotic Party (NPP) flagbearer, Dr. Mahamudu Bawumia, has cautioned Ghanaians to brace for additional taxes under President John Mahama’s administration.

During his “Thank You Tour” in the Central Region, Dr. Bawumia criticized the recently introduced GH¢1 per litre fuel levy, dubbed the “Dumsor Levy,” asserting that it imposes a heavier burden on citizens than the previously scrapped Electronic Transaction Levy (E-Levy).

Dr. Bawumia highlighted that purchasing GH¢1,000 worth of fuel now incurs an GH¢83 tax, compared to the GH¢10 charge under the E-Levy for a similar transaction amount.

He warned that this new levy is indicative of more taxes to come, suggesting that by 2028, Ghanaians will recognize the extent of the fiscal pressures imposed by the current administration.

He expressed confidence that citizens would eventually call upon the NPP to return to governance.

In defense of the levy, Energy Minister John Jinapor stated that the additional funds are essential to address the energy sector’s financial challenges, including a $3.1 billion debt and the need for $1.2 billion to purchase fuel for thermal power generation in 2025.

He emphasized that the levy is a strategic intervention to ensure consistent power supply and prevent recurring outages.

The introduction of the “Dumsor Levy” has sparked debates about fiscal responsibility and the government’s approach to economic recovery.

While the administration views the levy as a necessary measure to stabilize the energy sector, critics argue that it contradicts earlier promises to reduce the tax burden on citizens.

 

Source: Myxyzonline.com

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