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Gov’t can’t remove taxes on petroleum products – Akufo-Addo

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President Akufo-Addo says government cannot remove taxes on petroleum products.

According to the President, a large volume of the taxes on petroleum products are used to pay salaries of some public sector workers.

“Removing taxes on petroleum products will reduce Government revenues by some four billion cedis (GH¢4 billion). At this time, when we are determined to expand Government revenues in order to increase our capacity to finance our own development, can we afford to reduce tax revenues by four billion cedis (GH¢4 billion)?.

“Government is currently confronted by very tight financing conditions, in the wake of inadequate domestic revenue mobilisation. Indeed, some of the revenues from these same taxes on petroleum products is what is used to pay some of the salaries of some of the seven hundred thousand (700,000) public sector workers on Government’s payroll,” the President said in his Workers Day address.

The President however noted government is implementing measures that will help stabilise fuel prices.

“We are addressing the issue of fuel price increases by implementing measures that are succeeding in stabilising the exchange rate, a key determinant of fuel prices.””

“Government is also working hard to ensure reliable supply and availability of petroleum products, thereby preventing shortages, a phenomenon which is being experienced in some other neighbouring countries. By the same token, we are keeping the lights on in Ghana”.