Wrong Timing, Cancel the Emissions Levy now – Nana B to government

NPP National Organiser Calls for Reconsideration of Emissions Levy Timing

Henry Nana Boakye, the National Organiser of the governing New Patriotic Party (NPP), commonly known as Nana B, has expressed his reservations about the timing of the recently imposed emissions levy. He is urging the government to promptly reconsider and abolish the tax.

Nana B, a seasoned politician and private legal practitioner, argued that Ghana’s current economic status as a developing country makes the imposition of such a levy inappropriate. He emphasized that levies targeting carbon emissions, intended to mitigate the effects of climate change, are typically implemented in developed countries where the average citizen is not negatively impacted economically, thanks to the prevalence of electric vehicles.

While acknowledging the government’s need to generate revenue and expressing support for revenue measures, Nana B stressed the importance of considering the sentiments of the citizens. He called for the withdrawal of the levy to align with the economic realities faced by Ghanaians.

“Yes, we understand the need for the government to raise revenue, but we also need to balance it with the sentiments of the people. I think this is not the right time. In as much as a country, we want to stand by the government in times of this difficult era when we want to raise revenue and make sure that the economy is back and in shape, some of these taxes are a bit problematic. That is why I’m saying that the government must withdraw this tax,” he emphasized in an interview with Citi News.

In December of the previous year, the Parliament of Ghana approved the government’s tax policy, introducing the Emissions Levy to collect fees from vehicle users based on the carbon emissions produced by their vehicles. The government’s justification for the levy was to promote the use of eco-friendly technology and green energy.

The collection of the levy, which came into effect on February 1, 2024, includes motorized tricycles and motorcycle users paying GHC 75.00, and vehicle users with engine capacities of 3,000cc or higher paying as much as GHC 300.00.

The levy has faced strong opposition from vehicle users, particularly members of the Ghana Private Road Transport Union (GPRTU) and other commercial vehicle organizations. They argue that the levy will only increase the cost of running their businesses and burden users of their services.