The National Organiser of the ruling New Patriotic Party (NPP), Henry Nana Boakye, popularly known as Nana B, is calling on the government to withdraw the Emissions Levy without delay. Nana B argues that emission levies are generally imposed on developed countries that have adopted electric cars as part of their efforts to combat climate change.
He said Ghana has not reached a stage where electric cars are prevalent enough to justify imposing such a levy on petrol and diesel vehicles. During an interview with Accra-based Peace FM on Friday, February 2, Nana B called on President Akufo-Addo to instruct the Finance Minister to withdraw the levy.
“It must be withdrawn. It’s unnecessary. The Finance Minister must retract it. He must withdraw it immediately.” Already, the Ghana Private Road Transport Union (GPRTU) has suggested a potential fare increase in response to the implementation of the Emissions Levy Act, 2023 (Act 1112).
Despite the earlier suspension of a proposed 20 per cent fare hike in January, following intervention by the Transport Ministry, the government has now implemented the emissions levy tax. This tax is designed to mitigate carbon emissions from vehicles. Expressing dissatisfaction with the implementation of the emissions levy tax, the GPRTU has signalled its intention to pass on the levy cost to passengers.
Speaking to JoyNews, the spokesperson for GPRTU, Abass Imoro, stated that the unions engaged in a meeting with the Transport Ministry and the Finance Minister to address the issue, but the tax was implemented nonetheless. He highlighted that the government’s decision to implement the emissions levy tax has compounded their existing challenges.
“Fortunately for us, the government took that meeting seriously. We met with the Finance Minister and the Transport Minister as well. This particular issue was put to the Finance Minister, who agreed to do something about it.” The Ghana Revenue Authority (GRA) has announced the commencement of the implementation of the Emissions Levy Act, 2023 (Act 1112) from Thursday, February 1, 2024.
According to them, the Act will impose a levy on carbon dioxide equivalent emissions on internal combustion engine vehicles. The GRA emphasised that the move aligns with the government’s commitment to addressing greenhouse gas emissions.
By: Ernest K. Arhinful
