Dr Mohammed Amin Adam is the former Minister of Finance
A former Minister of Finance and Member of Parliament for the Karaga constituency, Dr Mohammed Amin Adam, has dismissed claims that the current substantial energy sector debt originated from the New Patriotic Party government.
While defending the record of the Akufo-Addo administration in the energy sector, he asserted that it ensured a consistent power supply for Ghanaians despite inheriting numerous challenges.
Speaking on the floor of Parliament on Thursday, June 5, 2025, Dr Amin Adam said the root of Ghana’s energy challenges lies in the “take-or-pay” contracts signed between the Mahama administration and certain power producers between 2012 to 2016.
“We kept the lights on. Despite the challenges, we ensured a stable power supply. If the current government cannot maintain this, they should step aside. They speak of energy sector debts but na who cause am? Were they not the ones who signed the take-or-pay contracts? Did they account for excess capacity in the tariffs when they signed those agreements? They did not,” the former finance minister said.
Addressing the Energy Sector Levies (Amendment) Bill, 2025, Dr Amin Adam questioned the rationale behind imposing a new tax when the government already benefits from enhanced revenue through the Energy Sector Recovery Levy.
He described the proposed levy, colloquially termed the “Dumsor Levy,” as an exploitative and disingenuous attempt to burden Ghanaians with additional taxes, especially after the current administration repealed some levies introduced by its predecessor.
“At the end of 2024, we terminated the ESLA PLC program, meaning the government now receives the full revenue from all levies collected.
“Previously, out of GH₵6 billion collected, only GH₵1 billion was available to the government. Now, with access to the entire GH₵6 billion, what justification is there for imposing new taxes on Ghanaians? There is none. This is exploitative,” he stated.
The Dumsor Levy was presented to Parliament by the Minister of Finance, Dr Cassiel Ato Forson, under a certificate of urgency.
Titled the Energy Sector Levies (Amendment) Bill, 2025, the legislation proposes an increase in the Energy Sector Shortfall and Debt Repayment Levy to raise additional revenue.
The funds are intended to address energy sector arrears, reduce legacy debts, and ensure a stable power supply nationwide.
The bill received its first reading in Parliament and has been referred to the Finance Committee for further consideration and reporting.
Ghana’s energy sector debt stood at $3.1billion at the end of 2024.
SA/AE
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