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Transport operators welcome scrapping of Emissions Levy

 

Transport operators have welcomed the government’s decision to scrap the emissions levy, which they previously criticized as an unnecessary financial burden.

Introduced to promote clean energy and reduce greenhouse gas emissions, the levy was met with resistance from operators who argued that there was no clear evidence of its impact or utilization.

The 2025 Budget presentation saw the elimination of the emissions levy, which was initially projected to generate GH₵451 million in revenue for the fiscal year. The levy was intended to be paid into the Consolidated Fund to support government expenditure.

Under the policy, motorcycle and tricycle users were required to pay GH₵75 annually, while motor vehicles, buses, and coaches were charged GH₵150.

Reacting to the announcement, the Ghana Private Road Transport Union (GPRTU) welcomed the decision, arguing that the emissions levy amounted to double taxation since excise duty on old imported vehicles already covered similar charges.

Transport operators also lauded the removal of the tax, with some stating that they never saw any tangible benefits from the levy’s implementation.

They further called on the government to explore alternative revenue sources to effectively tackle air pollution without placing an undue financial burden on drivers.

Meanwhile, Executive Director for the Centre for Environmental Management and Sustainable Energy, Benjamin Nsiah, acknowledged the need for urgent action on gas emissions.

However, he argued that the emissions levy was not a progressive measure and failed to achieve its intended purpose.

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