Two prominent transport unions, the Concerned Drivers Association of Ghana and the Transport Operators of Ghana, declared a rise in transport fares effective April 13, 2024, citing the escalating prices of petroleum products as justification.
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No lorry fare increase until fuel goes above Ghc23 per litre - GRTCC
The Ghana Road Transport Coordinating Council (GRTCC) has taken a firm stance, refusing to approve any increases until specific conditions are met.
No lorry fare increase until fuel goes above Ghc23 per litre - GRTCC
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However, the General Secretary of the GRTCC, Emmanuel Ohene Yeboah, labelled the proposed fare increases as illegal. He highlighted the driver unions' failure to adhere to fare reduction directives in 2022, despite significant drops in fuel prices. According to Yeboah, this lack of compliance means that any fare hikes cannot be sanctioned until fuel prices surpass levels recorded during the last approved increase.
“The last time it came down to 15ghc which was more than a 25% decrease, we called on our members to reduce fares by 10% to accommodate the drop in fuel price so the passenger can also have some relief. We tried every means possible, but our driver didn’t comply. So what we are seeing is not an increase in the operational fees but rather an erosion of their illegal gain,” he said.
Yeboah elucidated the council's approach, stating that discussions for fare adjustments are initiated when fuel prices either increase or decrease by 10% from the previous adjustment. He emphasized that recent fuel price hikes have not significantly impacted the operational costs of public transport vehicles but rather represent an attempt to maintain unjustified profit margins.
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Referring to previous instances where fuel prices dropped by over 25%, Yeboah revealed that the council urged members to reduce fares by 10% to pass on the benefits to passengers. However, compliance from drivers was lacking, indicating that the current fare hikes are primarily aimed at preserving illicit gains rather than covering legitimate operational expenses.
Asserting the council's position, Yeboah stated that until fuel prices exceed 23 Ghanaian cedis per litre, in accordance with established regulations and protocols, no approval for fare increases will be granted.
“For the records, last time we increased transport fares, fuel was 23.45ghc per litre, and that was in October 2022 and It has since dropped. As per the standard protocols, when it goes beyond 10% from the previous increase we trigger discussions for an increment, same way when it comes down by 10%, we trigger reductions.
“So what we see, until the fuel gets to 23ghc and above, per the standing regulations and protocols, we don’t have to increase transport fares,” he told Francis Abban on Accra-based Starr FM.
Meanwhile, the GRTCC has thrown its support behind the Transport Ministry's call for the arrest of drivers who implement unauthorized fare hikes, underscoring the seriousness with which regulatory bodies are approaching the issue.
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Passengers and drivers alike await further developments, with the spotlight firmly on the delicate balance between fair pricing and sustainable transport operations in Ghana.
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