The National Coordinator of the District Road Improvement Programme (DRIP), Nii Lantey Vanderpuye, has passionately defended the newly introduced GH¢1 levy on petroleum products, saying it's the lesser of two evils compared to what could have been a drastic 50% hike in electricity tariffs.
Speaking on Channel One TV's Breakfast Daily on Thursday, June 5, Vanderpuye made it clear that the levy is a necessary step to address energy sector challenges without passing unbearable costs to Ghanaians through increased utility tariffs. "This levy is meant to resolve a problem that we have created ourselves, because if we do not do that, realistically, what we are saying is that we must pay 50% more for electricity," he said. "You would want to pay 50% more for electricity, or you would contribute to the 1 cedi, or, cumulatively, we can resolve the problem instead of shifting into the pricing of electricity." He stressed that the choice came down to two tough decisions-taxes or higher tariffs-and government opted for the one it believes will cause less hardship for households and businesses. "It is either tariffs or taxes.
So we thought that there is a need for us to have this tax to generate revenue to meet the demands, so that we do not increase the tariff." The GH¢1 Energy Sector Recovery Levy was passed under a certificate of urgency in Parliament earlier this week, stirring debates across the country.
While critics, including former Vice President Dr.