Change petroleum margins into tax revenues-ACEP to Government

The African Centre for Energy Policy (ACEP) is pushing for a restructuring of petroleum margins, proposing their conversion into tax revenues to help the government generate approximately GH₵6.3 billion.

According to ACEP’s Policy Lead for Petroleum and Conventional Energy, Kudzo Yaotse, social programmes like the Free Senior High School (SHS) initiative are in dire need of additional funding, making it crucial to explore alternative revenue sources for national development.

He highlighted the potential impact of this financial redirection during a press briefing on Ghana’s downstream petroleum sector. 

“We recommend that margins such as the UPPF, BOST Margin, Fuel Marking Margin, and CRM Margin be repurposed into tax revenues. This approach could free up around GH₵6.3 billion annually, providing essential funding for education, infrastructure, and other critical areas,” he explained.

Mr. Yaotse also advocated for the commercialisation of the Bulk Oil Storage and Transportation (BOST) company, arguing that this would enhance operational efficiency and long-term financial sustainability.

Furthermore, he urged the government to focus on addressing energy sector debts, suggesting that listing BOST on the stock exchange would enhance transparency and accountability while reducing the financial burden on consumers.