Business News of Thursday, 1 August 2013

Source: Joy Online

JJ defends tax on imported electric bulbs

Deputy Minister of Energy and Petroleum, John Abdulai Jinapor has defended government's decision to impose tax on imported electric bulbs into the country.

Addressing members of the Ghana Electrical Manufacturers Association at the teachers hall in Accra, Mr. Jinapor noted that the decision was partly informed by government's quest to protect local industry.

The deputy minister further disclosed that there are two local manufacturing companies of compact fluorescent bulbs in the country - Wellamp Company Ltd and Intronix Ltd - which are capable of meeting all local demands and even produce to meet the needs of the West African market.

Touching on quality of CFL bulbs, the Deputy Energy and Petroleum Minister advised local manufacturers to produce high quality products which meet proper standards, adding that most imported products are of inferior qualities.

He recalled instances where the Energy Commission had to order importers to ship back inferior bulbs to their countries of origin, due to their poor quality.

Mr. Jinapor was however quick to add that the tax was not blanket, stressing that importers can still benefit from tax waivers if they opted for the much more efficient and longer lasting Light Emitting Diode (LED) lamps.

"The LED lamps have proven to be twice as efficient as the CFL and last twice longer even up to 10 years", adding, "this is the latest lighting technology the Ministry is currently promoting, we have therefore waived duties and taxes on these LED lamps," he stated.