The government has suspended the planned implementation of a 15 percent Value Added Tax (VAT) on domestic electricity consumption.
Both the Electricity Company of Ghana (ECG) and the Northern Electricity Distribution Company (NEDCO) have thus been directed by the Ministry of Finance to put the charging of the levy on hold.
This was contained in a press statement issued by the Ministry of Finance on Wednesday, February 7, 2024.
“On behalf of the Government, MoF would like to inform ECG and NEDCO to suspend the implementation of the VAT directive pending further engagement with key stakeholders, including Organised Labour.”
“The Ministry expects that these engagements will birth innovative, robust, and inclusive approaches to bridging the existing fiscal gap while bolstering economic resilience,” portions of the statement read.
