According to the 2018 Report on ESLA, the shortfall in collections was mainly on account of the reduction and subsequent withdrawal of the PSRL from the petroleum price build-up to mitigate potential increases in the ex-pump price of petroleum product.
Under the ESLA Act, a total of GH?0.94 and GH?0.92 is applied on the price per litre of petrol and diesel respectively. GH?0.03 is applied per litre of Marine Gas Oil Local and Foreign. GH?0.05 is applied per litre of Fuel Oil while GH?0.047 is charged on the price per kilogram of LPG and GH?0.01 is charged per litre of Kerosene and a total levy of 5 per cent is applied of ppkWh of electricity consumed.
In total, an amount of GH?3.08 billion was lodged into the ESLA accounts against actual collections of GH?3.19 billion and a programmed target of GH?3.5 billion. An amount of GH?102 million which count for 3.22 per cent of actual amount was not however lodged.
The shortfall in lodgement the report said was mainly as a result of the ECG retention of additional GH?49.69 million and GH?13.57 million of public lighting levy and National Electrification Scheme Levy (NESL) collection as well as NEDCo retention of additional GH?3.16 million of PLL collections.
Status of Utilization of the Energy Sector Levies
• GH?1.3 billion was transferred to ESLA towards servicing the ESLA bond
• GH?47.72 million for the payment of power utility debts
• GH?420 million for the payment of L/cents and L/c charges
• GH?245.68 million for the payment of premix and RFC subsidy
• GH?685 million transferred to the Road Fund for road maintenance
• GH?13.07 million transferred to fund the activities of the Energy Commission
The Ministry of Finance said “government has utilized the funds accrued from the electricity levies to provide public lighting infrastructure as well as cover the cost of providing public lighting. This has addressed the problem of dark streets in cities and towns within Greater Accra and other regional capital nationwide.”
Government added that the transfers into the National Electrification Programme is to improve access to electricity by over 84 per cent as at the end of 2018 in line with the attainment of Goal 7 of the Sustainable Development Goals to ensure access to affordable, reliable, sustainable and modern energy for all.
When the government took office in 2017, it reduced the electricity levies under the ESLA, from 5 per cent on the ppkWh for public lighting and national electrification levies to 3 per cent ppkWh and 2 per cent ppkWh respectively.

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(Nana Kwesi)