The Government has announced a set of temporary measures aimed at cushioning Ghanaians from rising petroleum prices triggered by global market volatility.
In a statement issued by Felix Kwakye Ofosu, Spokesperson to the President and Minister for Government Communications, the Government revealed that it will absorb GH¢2.00 per litre on diesel and GH¢0.36 per litre on petrol.
The intervention takes effect from April 16, 2026, coinciding with the next petroleum pricing window.
According to the statement, the decision approved by Cabinet is intended to reduce the financial burden on households, transport operators and businesses already grappling with increasing living and operational costs.
The measure will remain in place for one month, during which authorities will monitor developments on the global oil market and determine whether further action is required.
Government explained that the move is part of broader efforts to maintain price stability, protect livelihoods, and support Ghana’s economic recovery amid external shocks, particularly fluctuations in international crude oil prices.
The announcement comes on the heels of mounting pressure from policy analysts and civil society groups, including the Centre for Environmental Management and Sustainable Energy (CEMSE), which had earlier called for a more structured and targeted approach to fuel price relief.
In a recent policy proposal, CEMSE highlighted sharp increases in petroleum prices between February and April 2026, attributing the surge partly to geopolitical tensions involving Iran and its allies.
Diesel prices reportedly jumped by 63 per cent, rising from GH¢10.47 to GH¢17.10 per litre while petrol increased by 36 per cent and liquefied petroleum gas (LPG) by 18 per cent.
The rising costs have sparked concerns across key sectors of the economy, particularly among commercial transport operators, who have begun pushing for upward fare adjustments.
Analysts also warn that sustained fuel price hikes could fuel inflation and threaten macroeconomic stability.
While acknowledging the need for consumer relief, CEMSE criticised existing government interventions as lacking clarity and precision.
The think tank proposed a product-specific tax reduction regime, recommending a GH¢1.00 per litre cut in diesel and GH¢0.50 per litre reduction in petrol, arguing that such a targeted approach would better reflect consumption patterns and minimise market distortions.
However, the group noted that implementing these measures could result in an estimated monthly revenue loss of GH¢422 million, including GH¢253 million from diesel and GH¢142 million from petrol. To address this, it suggested tapping into windfall revenues from Ghana’s upstream petroleum sector, as well as surplus funds from the Unified Petroleum Price Fund (UPPF).
CEMSE further emphasised the need to balance consumer relief with fiscal discipline, warning that poorly structured interventions could undermine long-term economic stability.
As government rolls out its temporary relief measures, stakeholders will be watching closely to see whether the intervention delivers meaningful relief and how authorities navigate the delicate balance between easing consumer burden and maintaining fiscal sustainability.
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