Transport fares to be increased by 40% from January 17

Transport fares to be increased by 40% from January 17

After barely a month where Ghanaians who depend on various public means of commercial transport had to go through an ordeal on December 6 2021 due to a strike by commercial drivers which was later addressed, there is another issue in the sector but this time relating to fare increment.

A group of commercial transport operators known as the Concerned Drivers Association (C-DAG) has announced a 40 % increment in transport fares which is scheduled to take effect on 17th January 2022.

Though they can attest to the economic plight most Ghanaians are in they, cited that the increasing cost of operation has triggered the association to take such a decision to keep their businesses running.

“The increment, even though cannot bring an ultimate comfort, can only ameliorate the unbearable hardships facing drivers currently,” the group said in a statement.

The Chamber of Petroleum Consumers (COPEC ) had projected an increment in the fuel prices in the 2022 pricing window. This according to COPEC, was due to tightened restrictions in various countries due to  Covid-19.

“The ex-pump prices of petrol and diesel are expected to surge by 3.7% and 2.5% respectively,” COPEC said in its monthly report on Monday, January 3 2022.

These are the various reasons the  Concerned Drivers Association of Ghana (C-DAG) in their press statement dated 10th January 2022 as accounting for the fare increment:

  • Price of fuel commodities at the pumps of the various Oil Marketing Companies. Ghanaians agree that fuel commodities have seen a consistent upward increment and will even soon see another increment as predicted by the Chamber of Petroleum Consumers(COPEC). It’ll be recalled that a little over a month ago, drivers nationwide embarked on a sit-down strike which negatively affected commuters. Even though the Chief of Staff, Frema Osei Opare, on behalf of the government, met with driver unions and promised a reduction in the prices of petrol, unfortunately, that promise has not materialised. We are rather witnessing a consistent increment. Sadly, the government has blatantly refused to wave of the tax components on the petrol prices even.
  • Increment of Prices of Vehicles: The prices of cars continue to increase on a daily basis due to high duty rates at the ports. This situation makes it even more difficult to defray the cost of vehicles causing car owners to increase daily sales of drivers. In the end, drivers work virtually for nothing.
  • Increment of spare parts and lubricants: the prices of spare parts have also witnessed an upward increment. Coupled with poor roads in the country, drivers are heavily burdened as we have to rapidly change vehicle parts. Our partners, mechanics who replace these parts, have also increased their service charges. Essential engine parts and lubricants have also had their prices increased. For instance, a 4 and a half litre engine lubricant which used to sell at GHC 65 is now sold to us at GHC 110.

See the full statement below.

By: Stella Annan | Twitter @activetvgh

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