Business News of Tuesday, 19 October 2021
Source: www.ghanaweb.live
2021-10-19Remove additional petroleum taxes to ensure price stability – Energy analyst to government
Prices of fuel and diesel are selling at GH¢6.80 at some pumps
• Global prices of oil have hit the highest due to supply chain disruptions
• Brent crude oil rose 63 cents, or 0.7%, to US$85.49 a barrel on Monday
• Petrol and diesel are selling at GH¢6.80 at some pumps in Ghana as of October 16
Energy analyst, Dr. Yusif Suleimana has called on the government to
Read full articleremove a number of petroleum taxes in order to ensure price stability and cushion consumers.
Prices of petrol and diesel have increased in the second pricing window from October 16, 2021, and are selling at GH¢6.80 per litre at various pumps in the country.
A situation that is already burdening some consumers and the delivery of goods and services.
While government has approved for the removal of the Price Stabilisation and Recovery Levy (PSRL) on petrol, diesel and Liquefied Petroleum Gas (LPG) for two months, the move is yet to fully take effect.
Reacting to the development in an interaction with Joy Business, Dr Suleimana despite lauding the decision to remove the PSRL said, measures must be put in place to avert further price-build up of fuel.
“I think the government could still look at other taxes like SPT/SPG and then the rest. But overall, I think the move [removal of PRSL] is a positive one and we must commend the government for that because this is difficult; and I’m saying that it is difficult because that is the only thing that is possible for the government to do.”
“When these taxes are minimised, what will happen is that it will lubricate the economy. When consumer spending has to be enhanced and it's not, we’re going to find ourselves in a difficult situation and that’s what we’re having now”. Removing the tax, I think will be an excellent thing to do,” Suleimana explained.
Meanwhile, the price of oil on the global market has hit its highest level in years on Monday, October 18, 2021.
Brent crude oil futures rose 63 cents, or 0.7%, to US$85.49 a barrel by 0645 GMT, after hitting a session high of US$86.04, the highest price since October 2018.
