Ghana's Energy Minister Addresses CHCI Levy Concerns: Infrastructure Delays and Funding Shortfalls

Ghana's Energy Minister Addresses CHCI Levy Concerns: Infrastructure Delays and Funding Shortfalls Ghana's Minister for Energy and Green Transition, John Jinapor, recently addressed concerns regarding the CHCI levy on petroleum products. In a televised interview, he clarified that the levy's revenue is not allocated to the procurement of liquid fuels. Instead, the funds are intended for critical investments in gas infrastructure development. Jinapor highlighted the significant financial requirements for these projects, estimating that over one billion dollars is needed this year alone. He also emphasized the lengthy timeframe involved, stating that it takes 18 months to two years to put the necessary gas infrastructure in place, even if started immediately. This delay, he explained, stems from the complexities of such large-scale projects. "This is not actually to pay for legacy debt," Jinapor stated, "What we are doing is that we've studied the system, we've done the analysis in the energy sector and the basic truth and fact is that the liquid fuels that we buy currently is not part of the tariff structure." The minister's statements highlight the challenges facing Ghana's energy sector and the need for long-term strategic planning and substantial funding to improve its infrastructure.