The Liquefied Petroleum Gas (LGP) Marketing Companies Association of Ghana, has kicked against the new cylinder recovery Levy recently introduced by the National Petroleum Authority (NPA).
According to the Association, the new petroleum levy will only worsen the plight of the Ghanaian consumer, especially in the wake of the Covid-19 pandemic, which has grounded a number of businesses.
In a statement signed by the Chairman of the Association, Malam Abubakar Amadu, dated April 3rd, 2020, the association argued that instead of government introducing the new levy, she should rather consider removing all existing taxes and levies on LPG to make the products more affordable for the ordinary consumer.
Although the statement acknowledges the fact that the government needed to raise money through taxes, it believes this new levy will only add to the suffering of consumers.
The association is convinced that it would be more appropriate that the regulator, National Petroleum Authority, withdrawals the Cylinder Recovery Margin (CRM) from the LPG price build up. “The Liquefied Petroleum Gas Marketing Companies Association of Ghana wishes to state our opposition to the introduction of a new petroleum Levy called Cylinder Recovery Levy by the National Petroleum Authority (NPA), which came into effect on April 1, 2020,” the statement said.
It further argued that the Covid-19 has brought its own set of peculiar challenges on the Ghanaian, therefore, it was not prudent for the regulator to introduce a new levy on petroleum products.
“We know the NPA needs money to effectively roll-out CRM policy. We are resolute in our conviction that our regulator must find more innovative means to raise the needed revenue. Unfortunately, adding more levies to the already over taxed LPG is not the way to go in our humble opinion,” it suggested.
The association is of the opinion that instead of the a new levy, the regulator should consider making the use of the GH5pesewas already being charged as LPG distribution Compensation/promotion margin on the price build to replace the new levy.
By Bernice Bessey / www.thechronicle.com.gh
The post LGP Marketing Companies kick against new cylinder levy appeared first on The Chronicle Online.
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