Home » No Justification for Transport Fare Increase, Says Deputy Transport Minister

No Justification for Transport Fare Increase, Says Deputy Transport Minister

Deputy Transport Minister Rejects Fare Increase, Citing Lack of Justification

by Ikeoluwa Juliana Ogungbangbe

The Deputy Transport Minister, Alhassan Tampuli Sulemana, has firmly stated that there is no valid reason for an increase in transport fares by Commercial Road Transport Operators. He highlighted that there have been no corresponding increases in the prices of spare parts, lubricants, or related products, making a fare hike unwarranted at this time.

During an interview on Joy FM’s Super Morning Show, Deputy Minister Sulemana asserted, “We are saying that there is no basis for [any increase] now. So, normally, you will state that these are the considerations upon which the review is being made for the benefit of the general public so that it does not look like we are burdening the general public unnecessarily. So there must be some basis. We must lay some foundation that prices of petroleum products have gone up, prices of spare parts have gone up.”

This declaration comes in response to a press release issued by Commercial Transport Operators in Ghana, where they announced a proposed 30% increase in transportation fares across the country, effective from Monday, January 22. The operators cited rising costs of lubricants, spare parts, and DVLA service charges as their justification for the fare adjustment.

However, Deputy Minister Sulemana questioned the basis for this decision, as he noted that the prices of petroleum products have actually decreased since the previous fare hikes. He further emphasised that even if fare increases were being considered in anticipation of potential tax hikes, the union should wait until such taxes are officially implemented.

In response to the situation, Mr. Sulemana disclosed that his ministry plans to engage in discussions with the union to examine the impact of taxes and collaborate on determining the appropriate course of action. He added, “We have to have a conversation so we look at those taxes and how did they impact the lorry fare. We have a formula if you put all the variables into a basket and it goes beyond a certain threshold, then there is an automatic trigger. We haven’t had that conversation yet, so the unilateral decision goes contrary to the established procedure that we have had.”

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