President John Dramani Mahama has moved to allay public fears following the passage of the Energy Sector (Amendment) Bill, 2025, assuring Ghanaians that the new levy will not lead to an immediate increase in fuel prices at the pump.

Addressing the National Economic Dialogue Planning Committee at the Jubilee House on Wednesday, June 4, President Mahama explained that the stability of the Ghanaian Cedi and recent improvements in macroeconomic indicators would cushion the impact of the levy in the short term.

“Our energy sector is saddled with over US$3.1 billion in debt, and we require an additional US$1.8 billion to ensure a continuous fuel supply for thermal power generation in the coming months,” he noted.

“If we fail to act decisively, we risk a collapse that would threaten national productivity and industrial progress.”

The President emphasised that the levy forms part of a broader, urgent strategy to rescue the country’s struggling energy sector and ensure a consistent electricity supply.

He acknowledged the concerns of Ghanaians but stressed that the decision was made after careful consideration of its potential impact on households and businesses.

“With the recent gains in macroeconomic stability and the strengthening of the cedi, this levy is not expected to result in any immediate fuel price increases,” he said.

“We fully understand the challenges facing citizens, and this intervention was not undertaken lightly.”

President Mahama further revealed that the estimated GH¢5.7 billion in revenue from the levy will be strictly allocated to settling longstanding energy sector debts, financing fuel procurement, and preventing future power shortages.

To ensure accountability, the funds will be ring-fenced, independently audited, and excluded from the Consolidated Fund. Audit reports will also be made public to enhance transparency.

The announcement has stirred mixed reactions across social media platforms.

While some have applauded the initiative as a bold and necessary step to revamp the energy sector, others remain skeptical, fearing it could eventually translate into increased costs for consumers.

Despite the varied responses, the President remains confident that the measure will help restore confidence in Ghana’s energy sector and lay the foundation for long-term economic stability.