The Chamber of Oil Marketing Companies (COMAC) has clarified its stance regarding the government's new Energy Sector Levy, insisting its concerns lie not with the tax itself, but with the abruptness of its proposed implementation.
The GH¢1 per litre levy on petroleum products was initially set to take effect on 9th June but has since been postponed to 16th June following protests from key stakeholders.
Speaking on Channel One TV on Monday, 9th June, COMAC's Chief Executive Officer, Dr Riverson Oppong, explained that oil marketing firms were not financially or logistically prepared for the immediate enforcement of the levy.
He emphasised that, unlike global market-driven fuel price hikes, tax-induced increases demand large upfront payments that strain the liquidity of local companies. "When fuel prices increase based on the World Commodity Price increase, it is totally and entirely different from when taxes are increased," Dr Oppong stated. "What the public does not know is that taxes are prepaid or bonded, and that means that the oil marketing company would need to raise capital ahead of lifting." He further elaborated on the practical implications for the sector, noting that lifting fuel under the new tax regime would require significant capital in advance. "What this means is that, to lift 10 of a 58,000 litres capacity of a BRV a day for a week, you would have to generate not less than GH¢2 million yesterday.
