Dr. Razak Kojo Opoku, Founding President of the UP Tradition Institute, has launched a scathing critique of the Mahama administration, accusing it of policy inconsistency and misleading the public over the introduction of a GHS 1 tax on every litre of fuel.

In a detailed statement released Wednesday, Dr. Opoku argued that the new fuel levy contradicts the 2025 Budget Statement and Economic Policy presented by the Minister for Finance, Dr. Cassiel Ato Forson.

He noted that while the budget document referenced a review of the Energy Sector Levies Act, 2015 (Act 899), it made no mention of a GHS 1 tax per litre of fuel, a policy now being pushed by the government.

“The introduction of this fuel levy is inconsistent with the promises made in the 2025 Budget,” Dr. Opoku stated.

“It was never disclosed in sections that covered energy sector interventions, price stability concerns, or fiscal reforms.”

Quoting Section 27 of the budget, Dr. Opoku referenced Dr. Forson’s own admission that traders and businesses are most concerned about price instability, driven largely by fuel costs and exchange rate volatility.

He questioned how the government expects these same groups to respond positively now that transportation costs are set to rise sharply under the new levy.

Dr. Opoku also pointed out that the 2025 budget already flagged significant arrears in the energy sector, including $1.73 billion owed to Independent Power Producers, GHS 68 billion debt by the Electricity Company of Ghana, and a GHS 35 billion financing shortfall—figures cited in Sections 56, 80–84 of the budget.

Yet, he stressed, in the “2025 Energy Sector Measures” under Section 136, there was no mention of any tax on fuel as part of the recovery strategy.

Instead, the government stated in Section 152 that it would consolidate existing energy-related levies without increasing the burden.

“It is deceptive for the government to abolish taxes like the Emissions Levy, VAT on motor insurance, and the Electronic Transfer Levy (E-levy), only to turn around three months later and introduce a far more regressive tax on fuel,” Dr. Opoku argued.

He further questioned the fairness and economic logic behind implementing the new levy while the Public Utilities Regulatory Commission (PURC) is already preparing for major tariff adjustments in the fourth quarter of 2025 to cover increased fuel and capacity costs.

“Are Ghanaians now to suffer double—through higher electricity tariffs and increased fuel taxes?” he queried.

Dr. Opoku concluded that the GHS 1 fuel tax is “a betrayal” of public trust and “exposes Mahama's 2025 Budget Statement and Economic Policy as a collection of significant lies.”

He warned that the tax will reduce disposable income, increase the cost of living, discourage business growth, and weaken tax compliance