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Street Lights Levy gives Gov’t GH¢273.8 Million in two years

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The Minister of Energy has disclosed that, a total amount of GH¢273,876,832.16 was collected by ECG, VRA and NEDCO for the years 2018 and 2019.

According to him, a total amount of GH¢83,235,728.49 from the total amount was transferred to the Ministry of Energy, a total amount GH¢64,462,596.56 was utilized by the Ministry of Energy for the intended purpose as indicated in the Energy Sector Levies (Amendment) Act, 2017, (Act 946).

Responding to a Parliamentary question asked by MP for Araklu, Kwame Agbodza as to “How much was collected in relation to street lights as shown on customers bills in 2018 and 2019, and how this amount was utilized”, Peter Amewu said, “in 2018, an amount of GH¢134,266,115.81 was collected by ECG, VRA and NEDCO. An amount of GH¢38,388,702.57 was transferred to the Ministry of Energy, out of which GH¢21,863,937.00 was utilized by the Ministry”.

“In 2019, an amount of GH¢139,610,7 16.35 was collected by ECG, VRA and NEDCO. An amount of GH¢44,847,025.92 was transferred to the Ministry of Energy, out of which GH¢42,598,659.56 was utilized by the Ministry”, he added .

In line with the First Schedule of the Energy Sector Levies (Amendment) Act, 2017, (Act 946), which relates to Public Lighting Levy, 3% per price of kWh of electricity is being charged on all categories of consumers.

The purpose is to support payment of energy consumed by traffic lights, street lights, public lights on highways, to support investment and maintenance of traffic lights, street lights, public lights on highways by Metropolitan, Municipal and District Assemblies.

“Such levies shall be collected by the Electricity Company of Ghana, NEDCO, VRA and other suppliers of electricity, and shall be paid to the Ministry responsible for Power and Electricity Distribution Companies”, as contained in The Act.

Hon. Kwame Agbodza was however not happy with the answer provided, especially, “when the the Minister failed to account for the difference of about GH¢18,773,131.93”.

He argued, as to why government could not use the rest of the money to extend street lights to communities without street lights yet pay levies.

Story by Edzorna Francis Mensah

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