Deloitte Ghana has identified the controversial GH₵1-per-litre Energy Sector Recovery Levy as a significant inflation threat, warning it could amplify transport and fuel costs for consumers.
The advisory firm’s latest West Africa Inflation report classifies the levy colloquially termed the “D-Levy” as an “upsight risk” to Ghana’s price stability outlook.
Implemented under the Energy Sector Levies (Amendment) Act, 2025 (Act 1141), the levy took effect on July 16, 2025, following earlier postponements due to global oil volatility.
According to Ghana Revenue Authority (GRA) Commissioner-General Anthony Kwasi Sarpong’s Tariff Interpretation Order No. 2025/003, the policy has increased petrol taxes from GH₵0.95 to GH₵1.95 per litre and diesel from GH₵0.93 to GH₵1.93. Marine gas oil and heavy fuel oil saw similar hikes, while liquefied petroleum gas rates remained unchanged.
The Mahama administration maintains the levy is essential to address the energy sector’s GH¢15.8 billion financial irregularities documented in the 2024 Auditor-General Report. However, Deloitte’s analysis cautions that supply-chain ripple effects could exacerbate Ghana’s inflationary pressures.
The report emerges amid public skepticism about the levy’s efficacy, following revelations that energy agencies accounted for 86% of last year’s GH¢18.4 billion fiscal discrepancies.
GRA directives mandate compliance from all petroleum operators, applying new rates to products lifted since June 9, 2025. Economists note the policy’s timing coincides with rising living costs, potentially straining households already facing elevated food and transportation expenses.
