Oil Marketing Companies in Ghana to reintroduce Stabilisation and Recovery Levy

The National Petroleum Authority (NPA) has directed Oil Marketing Companies (OMCs) in the country to re-introduce a Stabilization and Recovery Levy on products.

Oil Marketing Companies in Ghana to reintroduce Stabilisation and Recovery Levy

This indicates that the prices of petrol and diesel will attract a GH¢0.12 and GH¢0.10 respectively as a levy.

The Authority last week directed all OMCs to re-introduce the levy on the price buildup of petroleum products.

The directive according to NPA is coming from the Energy and Finance ministries through the NPA and it was based on the established principle which seeks to insulate consumers against rising prices of petroleum products.

The levy was earlier waved when prices of fuel were expected to rise due to the depreciation of the cedi against major trading currencies and the increase in prices of petroleum products.

Industry experts have questioned the rationale behind keeping this tax on products at a time when there have been concerns that there are too many taxes on petroleum products.

However, the NPA has explained that the levy is critical because, without them, there wouldn’t be funds to pay for the subsidies on premix fuel and residual fuel oil.

The authority added that it has strategically applied this levy to ensure that it does not negatively affect consumers.

The OMCs will be applying the levy when prices are low and take it off when prices at the pumps are going up.

Our newsletter gives you access to a curated selection of the most important stories daily.

Welcome to the Pulse Community! We will now be sending you a daily newsletter on news, entertainment and more. Also join us across all of our other channels - we love to be connected!

Eyewitness? Submit your stories now via social or:

Email: news@pulselive.co.ke

Recommended articles

Africa’s richest man Aliko Dangote poised to overtake another Russian billionaire Vladimir Lisin on Bloomberg billionaires list

Africa’s richest man Aliko Dangote poised to overtake another Russian billionaire Vladimir Lisin on Bloomberg billionaires list

Pulse Influencer Awards 2022 is Live!

Dance

Mzee Kibor's will made public, revealing how vast wealth and millions will be distributed

Mzee Kibor's will made public, revealing how vast wealth and millions will be distributed

Ini Edo posts new photos amid reports of welcoming a baby through surrogacy

Ini Edo posts new photos amid reports of welcoming a baby through surrogacy

Mathias Pogba brands Paul Pogba 'a so-called Muslim steeped in witchcraft' amid fetish claims about Kylian Mbappe

Mathias Pogba brands Paul Pogba 'a so-called Muslim steeped in witchcraft' amid fetish claims about Kylian Mbappe

Referee behind chaos at AFCON was rushed to hospital after match

Referee behind chaos at AFCON was rushed to hospital after match

Ne-Yo speaks out after wife Crystal announced end of their 8-year marriage

Ne-Yo speaks out after wife Crystal announced end of their 8-year marriage

Eddie Butita speaks on his fallout with Miss Mandi, offers her a job

Eddie Butita speaks on his fallout with Miss Mandi, offers her a job