The Africa Centre for Energy Policy (ACEP) has called for the abolition of the premixed fuel subsidy, urging the government to consider providing direct financial support to fisherfolk instead. ACEP Policy Lead-Petroleum and Conventional Energy, Kodzo Yaotse, emphasized that this would be a more effective approach for fuel purchases and help address inefficiencies and corruption in the current subsidy system.

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He also suggested exploring sustainable alternatives like solar-powered fishing boats.Yaotse highlighted irregularities in premixed fuel consumption, including an increase in usage in areas with limited need, which he suggested could indicate smuggling.

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He stated, “Nearly all the GH₵680million in annual revenues from the Price Stabilisation and Recovery Levy (PSRL) is siphoned through the premixed fuel subsidy by cronies, offering little or no benefit to the fisherfolk.”ACEP’s findings also uncovered hidden margins in petroleum product taxation, with some levies increasing significantly between 2018 and 2024.

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Mr Yaotse argued that many of these levies are used to cover political settlements and inefficiencies in the energy sector rather than funding development. He proposed converting certain margins into tax revenues for development projects, potentially freeing up GH₵6.3billion annually for infrastructure and social programs.

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ACEP also recommended commercializing the Bulk Oil Storage and Transportation (BOST) company and listing it on the stock exchange to ensure greater transparency. Additionally, ACEP urged the government to address energy sector debts to release more revenue for national development.

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