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Wednesday, July 24, 2024

Transport Fares: The government and transportation companies are at odds about how much to charge for their services.

The government and commercial transportation operators are at odds about the proper amount for the upcoming increase in transportation prices, which is slated to take effect in the coming weeks.
After meeting with Mr. Kwaku Ofori Asiamah, Minister of Transport on Monday, February 14, 2022, the Coalition of Private Transport Operators recommended a 20 percent increase, while the government is fighting for a ten percent increase, the transport operators informed the Ghana News Agency.

The three-hour meeting, which was the second in a week, resulted in a deadlock because both sides “had entrenched stances,” according to Mr. Abass Imoro, Head of Communications for the Ghana Private Road Transport Union (GPRTU), who was there.

When the Coalition met with the Minister last week Monday, it offered a 30% increase — a meeting that also ended inconclusively.

Mr. Moro said that the Coalition decided to decrease the rate to 20% following long negotiations on Monday evening.

“The Minister said that 20% is too high and that we should reduce it to 10%. We objected because 10% is too tiny a percentage for us.

“After more than two hours of conversation, we were unable to reach an agreement, thus we have postponed the negotiations until next week,” “he said

Mr. Imoro said that the Coalition will meet with its people in the following days to discuss the best course of action ahead of the engagement next week.

The Ghana Private Road and Transport Union (GPRTU), the Association of Tipper Truck Drivers, Harbor Transport Owners, Ghana National Cargo Transport Association, Ghana Committed Drivers Association, Concerned Drivers Association, Digital Drivers, Commercial Motorbike Riders, popularly known as Okada, and the Chamber of Petroleum Consumers are among the members of the Coalition of Private Transport Operators.

The transportation operators had previously suggested a 30% increase in transportation rates, citing increases in fuel costs, spare parts pricing, and other factors as justifications.

According to a recent market analysis, the costs of factors that impact the Coalition’s operations, such as spare parts and lubricants, have increased by at least 35 percent throughout the time.

They claimed that rising fuel prices had taken a toll on their businesses, necessitating an increase in transportation fares.

They first requested that the government eliminate certain tariffs on petroleum items in order to ease the burden on customers and allow them to continue operating their operations.

The Price Stabilisation and Recovery Levy (PRSL) was resumed this month after being suspended from November 2021 until the end of January 2022.

Since February 1, 2022, the price of gasoline has increased by at least 50 pesewas per liter at the pump. The average price of petrol and diesel in Ghana is presently GH 7.3 and GH 7.4 per liter, respectively. The increase has been attributed to the growing cost of Brent oil on the international market, with some experts predicting that gasoline costs might reach GH8.0 per liter by March this year if the global scenario remains unchanged.

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