Ghana: Why Gov’t Introduced Sanitation & Pollution Levies On Fuel

The Government of Ghana, last Friday, announced plans to review the country’s Energy Sector Levies Act (ESLA) with the proposition of the introduction of Sanitation and Pollution levies on gasoline (petrol) and gasoil (diesel).

This will mean an additional 10 Ghanaian pesewas on both petrol and diesel.

Petroleum consumer advocacy group, Chamber of Petroleum Consumers (COPEC) has criticised the government for this, describing it as a lazy approach.

But what is this new levy on fuel seeking to do?

According to the 2020 World Bank report, the 25 recycling companies in the West African nation pay at least Ghc 6.7 million (EUR 1.15 million) to plastic waste collectors as part of effort in managing waste.

The report projected that municipal waste in the country is expected to increase to about 52 and 70 percent between now and 2040.

Presenting the 2021 Budget and Economic Policy statement of the Akufo-Addo-administration, the Minister for Parliamentary Affairs and Caretaker Finance Minister, Osei- Kyei Mensah explained why it has become necessary to introduce the new levies on petrol and diesel.

He said revenue realised would be used to do the following:

i. Improve urban air quality and combat air pollution;
ii. Support the re-engineering of landfill sites at Kpone and Oti;
iii. Support fumigation of public spaces, schools, health centres and markets;
iv. Revamp/reconstruct poorly managed landfill facilities;
v. Construct more sustainable state-of-the-art waste treatment plants both solid and liquid in selected locations across the country;
vi. Construct waste recycling and compost plants across the country;
vii. Construct more sanitation facilities to accelerate the elimination of open defaecation.
Viii.Construct final treatment and disposal sites for solid and liquid waste;
ix. Provide dedicated support for the annual maintenance and management of major landfill sites and other waste treatment plants and facilities across the country; and
x. Construct medical waste treatment facilities to prevent generation of infectious diseases especially under the Coronavirus Treatment Programme.

Source: www.energynewsafrica.com