In a groundbreaking move towards sustainable transportation, Ghana’s Finance Minister, Ken Ofori Atta, delivered exciting news during a budget reading to parliament on November 15th. The announcement? A significant import duty waiver on electric vehicles (EVs) designated for public transportation.
Import Duty Waiver for Public Transportation EVs:
- The Finance Ministry, under the leadership of Mr. Ken Ofori Atta, will be granting an import duty waiver on electric vehicles used for public transportation in Ghana.
- This includes a particular focus on electric buses, aligning with the government’s commitment to greening public transport.
Duration of Import Duty Waiver:
- Vehicles imported for public transportation, including electric buses, are set to enjoy this import duty waiver for an impressive duration of up to 8 years.
Local Assemblers’ Incentives:
- The Finance Minister extended the incentive to local assemblers of electric vehicles in Ghana. As part of the initiative, these assemblers will receive an import duty waiver for up to 8 years on parts imported for the assembly of EVs.
Strategic Move for Sustainable Transport:
- Ghana’s government has been actively working on a comprehensive policy framework to transition public transportation from traditional petroleum fuels to electric vehicles.
- The announcement aligns with Ghana’s broader strategy to achieve net-zero emissions in the transportation sector.
Consultations and Stakeholder Involvement:
- The government has been engaging in consultations with stakeholders since November 2022, seeking input and collaboration on an Electric Vehicle Policy.
Why This Matters:
Accelerating Green Initiatives:
- By offering import duty incentives, Ghana is taking a bold step to accelerate the adoption of electric vehicles, particularly in the public transportation sector.
- This move contributes significantly to the country’s commitment to sustainable practices and environmental responsibility.
Economic Boost for Local Assemblers:
- The import duty waiver for local assemblers fosters a conducive environment for the growth of the electric vehicle assembly industry in Ghana.
- It positions the country to not only reduce reliance on traditional fuels but also boost its local economy through the development of a green automotive sector.
By the Numbers:
Previous Import Data:
- According to a report by the Ghana Revenue Authority, between January 2017 and December 2021, a total of 17,660 Personal EVs were imported into Ghana.
- This statistic indicates a growing interest in electric vehicles within the country.
Ghana’s commitment to embracing electric vehicles and incentivizing their adoption reflects a forward-thinking approach to sustainable development. The Finance Minister’s announcement sets the stage for a greener future in Ghana’s transportation landscape, demonstrating a dedication to reducing environmental impact and embracing cutting-edge technology.
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