Find innovative ways to clear power sector debt – COPEC urges govt
The Chamber of Petroleum Consumers (COPEC) has asked government to develop innovative ways to clear the power sector debt and not unnecessarily burden petroleum consumers with the one cedi fuel levy.
Government as part of measures to clear the power sector debt introduced the one cedi levy on every litre of fuel at the pumps.
The levy, which was assented to by President John Mahama was met with criticisms for lack of engagement with key stakeholders, including the Oil Marketing Companies. The Ghana Revenue Authority has subsequently postponed the implementation of the levy to June 16, 2025.
Speaking to Joy Business in Accra yesterday, the Executive Secretary of COPEC, Duncan Amoah criticised government for imposing the levy on consumers, pointing out that it will increase hardship on Ghanaians.
He advised government to prioritise efficiency in the power sector and cut down financial and technical losses.
“It is as if the Electricity Company of Ghana (ECG) has money that they can use for corrupt things in the power sector and we have allowed them to misuse the money and then they come back to tell us there is no money to pay for the Independent Power Producers and fuel. So Ghanaians must pay through levies,” he said.
Listing some major challenges influencing the power sector debt, Mr Amoah stressed the need to address revenue leakages and transmission losses, particularly on the part of the ECG.
“The power sector debt is not out of vacuum. Something let to the accumulation of the
debt. The transmission losses is one, poor revenue generation and collection, is two, and the use of the revenue is three,” he said.
He added that it was time to punish staff of ECG engaged in acts of corruption that lead to the power distributor making losses.
“The procurement breaches and corruption and blatant disregard for the laws and sometimes even common sense. We must check that,” he said.
