Gov’t extends GH¢2 diesel subsidy for two more months
The government has extended the GH¢2-per-litre subsidy on diesel for another two months as part of measures to cushion consumers against rising fuel prices. According to reports, the extension will cover September and November 2026. The latest arrangement, however, changes how the subsidy is financed. Previously, the entire GH¢2 reduction was absorbed through diesel margins. […]
The government has decided to prolong the GH¢2-per-litre diesel subsidy for an extra two months, aiming to provide relief to consumers grappling with surging fuel prices. This extension will apply to September and November 2026. While the total subsidy remains unchanged, its financing has shifted. Previously, the entire GH¢2 reduction came from diesel margins.
Now, GH¢1 will be provided by reducing the D-Levy, and the remaining GH¢1 will be sourced from a cut in industry margins. Thus, the diesel will still receive a total subsidy of GH¢2 per litre, but the expense will be split between the government and industry. This arrangement follows the burden-sharing framework established by the government and industry on April 16, 2026.
The extension is intended to keep motorists, commercial transport operators, and diesel-dependent businesses supported, especially as international crude oil prices soar. The government introduced this fuel price intervention on August 4, responding to a significant surge in global oil prices. This marks the fourth intervention by the government to shield consumers from escalating fuel costs.
Written by urgent.news from GBC Ghana's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
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- Gov’t extends GH¢2 diesel subsidy for two more months adomonline.com
