Speaking to the media, some concerned youth in Aburi expressed their displeasure that transportation fares from Aburi to any part of the nearby areas are exorbitant in comparison to other places, despite the city’s good roads.
A 23-kilometer road from Aburi to Madina now costs Ghc13.60, while a 26.9-kilometer road from Madina to Dodowa costs Ghc10.
The youth argued that transport fares from Aburi to Madina shot up during the reconstruction of the Tetteh Quarshie to Mamfe road two decades ago due to the diversion of the road through Kitase-Brekuso to Kwabenya.
However, drivers failed to reverse the GHC2 additional increment agreed upon with passengers after the road’s construction, instead unfairly raising the fares.
This, they say, is worsening the plight of the people and also affecting businesses and tourism.
Fred Odei Addo Duodu, Secretary to the youth group demanded immediate reduction in transport fares else the youth will rise.
He further stated that “it is our fervent prayer that our demands today on paper must translate into a renewed action by the transport unions to expose those unscrupulous drivers who charge exorbitantly based on their own discretion, push for bolder policies to flush out drivers who disregard the approved general pricing principle by the transport unions”.
Some opinion leaders in the community said they have made several efforts to petition the Greater Accra Regional GPRTU executives and Akuapem South District Chief Executive, but the GPRTU has failed to act on their grievances.
Residents have given a one-week ultimatum for the fares to be reduced or else they will stage a massive demonstration, and subsequently expulse recalcitrant drivers from plying into Aburi township.
However, some of the drivers told Starr News, they can’t not be blamed because they only implement fares approved by GPRTU.
The Ghana Private Roads Transport Union (GPRTU)has threatened to raise transport fares once again as a result of the newly imposed Value Added Tax (VAT), which is driving up the price of spare parts.
Finance Minister, Ken Ofori-Atta, while presenting the 2023 budget in parliament on Thursday, November 24, 2022, announced a 2.5% increase in VAT, as part of government’s several means of “aggressively mobilising domestic revenue” that will be used to “directly support our [Ghana’s] roads and digitalization agenda.”
Following the minister’s announcement, many Ghanaians, particularly traders, were dissatisfied because the 2.5% increase meant a jump in VAT from 12.5% to 15%, a development they are aware will have a significant impact on the costs of goods and services.
Unhappy about the upward adjustment, a member of the GPRTU, Samuel Amoah, in an interview with the media, stated that spare parts imported into Ghana are liable to VAT.
A GPRTU member, Samuel Amoah, reacting to the development, voiced his displeasure over the upward adjustment in a media interview and claimed that because imported spare parts are subject to VAT, his organisation would inevitably bear the brunt of the increase.
According to Mr. Amoah, importers of spare parts will soon be compelled to raise their prices, which will have an impact on the cost of maintaining GPRTU vehicles and ultimately on transportation costs.
Mr Amoah noted that the GPRTU considers four factors before increasing fares, including the increment in spare parts, lubricants, taxes, and fuel prices.
“Anytime we want to increase our fares, we go down there to check all those components to see how much it has increased percentage-wise before we also do our calculation.” he said.
Transportation costs have increased by more than 40% since the start of 2022, and the GPRTU attributes this rise in part to the ongoing rise in the cost of petroleum products.
In January of this year, petrol and diesel were trading at an average of GH¢6.9 and GH¢7.0 per litre, respectively, at the local pumps.
Currently, a litre of diesel is selling at GH¢20.25, whiles a litre of petrol is GH¢16.07.
However, the Chamber of Petroleum Consumers (COPEC) is projecting a decline in the prices of petrol and diesel at the pumps.
He said: “One thing that worries COPEC is that we don’t mind paying taxes on fuel to develop Ghana but paying these taxes to offset debts of institutions that are not pulling their weight is a worry. Officials in these agencies do not execute their mandate and lazy about only being paid GH¢40,000 and GH¢25,000 a month.”
Head of Research at the Chamber of Petroleum Consumers (COPEC), Benjamin Nsiah, says petroleum products are the engine of growth for any economy but argues the case is different in Ghana.
Instead of developing with its petroleum and oil resources, the country is only retrogressing, he posits.
In Ghana, there are 11 taxes, levies and margins on every litre of fuel purchased and this totals GH¢2.43 pesewas which are purposed towards the smooth operation of the government and its agencies.
“One thing that worries COPEC is that we don’t mind paying taxes on fuel to develop Ghana but paying these taxes to offset debts of institutions which are not pulling their weight is a worry. Officials in these agencies do not execute their mandate and lazy about only being paid GH¢40,000 and GH¢25,000 a month.”
“The Ghanaian pays 49pesewas on every litre of fuel purchased and this goes into the Energy Debt Recovery Levy. This money is used to pay the debt of TOR, people who mismanaged the economy and their work, and this debt only keeps on rising. The debt incurred by the Energy Sector is being paid by the struggling trotro driver although employees in the sector are being paid to make profits for the nation.”
Some Oil Marketing Companies (OMCs) have increased the price of fuel by about 10 pesewas. A litre of petrol is currently being sold at about GH¢6.90 at most fuel vending stations.
In the midst of the upward adjustments, the Ghana Private Road Transport Union (GPRTU) has urged drivers not to increase lorry fares.
These developments have made drivers agitated. They have stated their unpreparedness to continue to put up with the high cost of fuel.
Sixteen driver unions are demanding that the government scraps some taxes on petroleum products otherwise they will withdraw their services.
Speaking in an interview with Don Kwabena Prah on Happy98.9FM’s Epa Hoa Daben political talk show, he indicated that a pesewa is paid to the Energy Commission for every litre of fuel purchased.
“The Energy Commission is to advise the government and citizenry on the efficient use of energy but when was the last time you heard them promote the safe use of energy? The Commission makes GH¢23 million annually from taxes but they sit and do nothing and only pay themselves huge sums, using the rest to attend conferences in Glasgow whiles the petroleum consumer suffers.”
According to Benjamin Nsiah, the Ghanaian is tired and can no more take this insensitiveness from the government and pay for government inefficiencies.
Industrial Relations Director of the Ghana Private Road Transport Union (GPRTU), Alhaji Abass Imoro, has debunked the notion that GPRTUhas lost control over their drivers at a time they unilaterally increase transport fares.
He nonetheless stated that there is little the association can do under the current circumstance in terms of the inconsistent transport fares.
“We have not lost control; it is rather those in power who think they can just push anything and run over drivers who have gotten it wrong. The drivers increased the fares themselves and they will take steps to rectify it” he mentioned.
The current fuel hikes have led to a sharp increase in transport fares and general cost of living in Ghana.
Transport fares have gone up officially by at least 40% within two weeks, but however, passengers are surprised with inconsistencies in the fares for same route.
Such inconsistencies have resulted in serious altercation between some passengers and commercial transport operators which is reported to have caused the death of a passenger in Accra.
The drivers attribute the situation to the incessant increases in fuel prices and blame the National Petroleum Authority (NPA) for unceremoniously increasing fuel prices twice outside the agreed pricing window.
In an interview with Alfred Ocansey on 3FM Sunrise Morning Show on Monday 7 November 2022, Alhaji Abass Imoro said that the drivers are charging their own fares on the basis of how they are being hit by the cost of running and maintaining their transport business.
He added that, the high cost of living and the price hikes of goods and services are compelling the drivers to respond accordingly.
In his personal view, the Industrial Relations Director of GPRTU stated that it is better the members are working than to park their cars. “If they can charge reasonable and serve Mother Ghana, the better,” Abass Imoro stressed
“The voice of the people is the voice of God. The drivers themselves have decided and seriously, there is no way we can return it. Unless those who have control over NPA will reason up with them and do something about the fuel prices. The drivers have promised that anytime they increase the fuel, they will also increase the lorry fares.” He said on 3FM Sunrise.
He added that fuel prices have recently gone up a little over 100% in Ghana whereas other neighboring countries have had relative stability in fuel prices. “I am surprised nobody has spoken anything about that increment of fuel on 26th and 29th of October.”
Some frustrated drivers in the Greater Accra Region have pledged to review their prices anytime there is fuel increments in the country.
According to them, they will not wait on the Ghana Private Road Transport Union (GPRTU) to engage with government on the upward adjustment percentage.
Speaking to Accra-based TV3, one driver argued that, Oil Marketing Companies (OMC) don’t give any announcement prior to the increment of fuel, thus, drivers don’t need to alert government about their transport fares as well.
“We wake up and petrol and diesel prices have been increased. Do the operators announce their decision to increase it? So why should we inform government about our decision to increase transport fares?
“Nowadays, we will just make things simple. If we go to the filling stations and fuel prices have increased, we will just increase our fares as well,” one angry driver told the journalist.
This comes after the Concerned Drivers Association increased transport fares for the second time in two weeks.
Drivers on Saturday, October 29, started the implementation of the 19% increment in transport fares. At the time a litre of diesel and petrol was sold at ¢15.99 and ¢13.99.
A litre of diesel now sells at ¢23.49 and petrol sits at ¢17.99.
This has forced drivers to unilaterally increase transport fares again without any consultation with government.
The drivers bemoaned the state of the economy. Describing it as terrible, one driver asked, “Where are we going? Does government want to kill us?”
Considering the impact of skyrocketing prices of fuel on the economy, one driver suggested that government should revamp the Tema Oil Refinery (TOR) to prevent the import of expensive fuel.
“Things are really getting out of hand so this move will help to an extent.” Meanwhile, the GPRTU says it will not make any public comment on the matter until a meeting is held.
Public transport operators have once again defied the Ghana Private Road Transport Union’s (GPRTU) directive to increase fares by 19 percent to cushion themselves from the high cost of fuel products.
Commuters are now bearing the brunt of the incessant rise in the prices of fuel products as a whopping 40 percent increment, at least, has been slapped on fares, the Independent Ghana can confirm.
Some bus terminals that are observing this gross misconduct include Lapaz bus terminal and Circle bus terminal.
Before the GPRTU’s 19 percent increment, a trip from Lapaz to Mile 7 cost GH3.60. Following the 19 percent implementation on October 29, 2022, the fare rose to GH4.50.
On November 1, the fare was adjusted again and a trip which cost GH4.50 is now GH4.95, nearly GH5, the amount transport operators are currently demanding.
A trip from Lapaz to Mile has increased by GH1.40, representing a 40 percent increment.
Again, a trip from Taifa to Mile 7 used to go for GH3, but after a 19 percent increment was implemented, the fare increased to GH3.80, instead of GH3.60, to reflect an actual 19 per cent increment.
On November 3, transport operators charged GH5 for a trip from Taifa to Mile 7, representing a 67% increase.
A critical look at the Circle bus terminal, shows that transport fares have also increased by 40 percent as observed at the aforementioned.
Prior to the GPRTU’s directive, moving from Pigfarm to Circle cost GH3.50. With a 19 per cent implementation, the trip should cost GH4.20, however, public transport operators are currently charging GH5.
Commuters moving to Dome from Madina used to pay GHS5.50 before GPRTU announced an increase in transport fares. Transport operators now charged GHS7 for the same trip, violating the 19 percent increment directive.
At a 19 percent rate, a trip from Madina to Dome should cost GH6.50. Currently, commuters are being charged GHS8.50, representing a whopping 55 percent increase.
It has been observed that the new fare has been pinned on the Ghana Private Road Transport Union.
This debunks comments by the GPRTUthat public transport operators are implementing the new agreed fares.
Ghanaians who have fallen victim to this exploitation have registered their displeasure on social media, and have called on the GPRTU to intervene.
Prior to the recent increase in transport fares, the GPRTU, owing to the incessant rise in price of fuel products, demanded a 40 percent increment from the government, but after engagements, the Union and the Transport Ministry settled on a 19 percent increment.
Currently, a litre of petrol is going for about GHS18, and that for diesel, close to GHS24.
The GPRTU announced the increment in fares of about 19 percent earlier in the week which took effect yesterday, Saturday.
The move, according to the union was necessitated by the continuous soaring of prices of petroleum products at the various fuel pumps.
Currently, diesel and petrol are selling for over GH¢19 and GH¢15 respectively at major fuel pumps; a situation transport operators say was eroding their profit.
Abass Imoro, Industrial Relations Officer of the union said the compliance level with the increment has been commendable.
“The law-abiding drivers are complying with the 19 percent increment in fares. Until we finish the negotiations, I think we should be law-abiding and take it easy until we all finalize on that.”
VIP JEOUN increased its fares by 20% on Monday, October 24.
The fare from Accra- Kumasi which used to be GH¢85 is now GH¢100, while Accra-Sunyani will now cost GH¢130 cedis.
Also, people moving from Accra to Tamale are now paying GH¢240 for VIP buses.
Ghanaians will from today, October 29, 2022, officially pay more for transport services as the 19% increase in fares announced by the Ghana Private Road Transport Union (GPRTU) takes effect.
The GPRTU announced the increase in fares earlier in the week.
It emerged that some public transport operators started implementing new transport fares, ahead of the implementation date.
As of Thursday morning, October 27, some commercial drivers and their conductors had started applying the new rate without regard for the concerns of unprepared passengers.
A trip from Pig Farm to Circle, which costs GH₵3.50 went for GH₵4.20. The new fare increased by 70 pesewas, as against the expected 66 pesewas.
Many registered their displeasure on the matter.
The GPRTU reached an agreement with President Akufo-Addo and other transport operators across the country on a 19% rate on Wednesday, October 26, 2022.
The increase in fares has been attributed to the recent increases in fuel prices, as well as the galloping inflation and the Cedi’s current depreciation.
Transport fares have increased by 54% since the beginning of the year. Fifteen per cent in February and 20% in May. October marks the third time fares have been adjusted.
The Ghana Private Road Transport Union (GPRTU) has revealed that from Saturday, October 29, 2022, transport fares would increase by 19%.
General Secretary of the Union, Godfred Abulbire, made this known in an interview on JoyNews.
According to him, the new rate was agreed upon by the Union after an extensive discussion with President Akufo-Addo, together with other transport operators across the country.
Public transport operators have attributed the yet to be implemented rate to the recent hikes in fuel prices coupled with the galloping inflation and the current depreciation of the Cedi.
The new transport fares were to be announced by the GRPTU on Monday, but due to further engagement, the Union was unable to.
This is the third time transport fares have been increased this year. In February, fares were increased by 15%. Two months after, fares rose by 20 per cent.
Since the beginning of the year, transport fares have risen by 54 per cent.
The Ghana Road Transport Union (GPRTU) says it will on Monday, October 24, 2022, announce new fares for public transport.
This according to the union has been necessitated by the continuous soaring of prices of petroleum products at the various fuel pumps.
Currently, Diesel and Petrol are selling for over GH¢15 and GH¢13 respectively at major fuel pumps; a situation transport operators say it’s eroding their profit.
A meeting between the GPRTU and Transport Ministry on the fare adjustment ended in a stalemate.
Speaking to Citi News, the Industrial Relations Officer for the GPRTU, Abbas Imoro said the union can do little to salvage the situation.
“Normally, if we are able to conclude, we will come out on Monday with a percentage of increment. We will give the passengers a few days to adjust themselves to the new prices.”
He further admonished passengers to bear with the GPRTU in order to keep their business running.
“We’ve been very considerate. This would have been the third or fourth adjustment from May. We are all in this country and have seen frequent increments in fuel prices. But we have sacrificed to contain it. But we can no longer bear the cost.”
The National Petroleum Authority (NPA)has attributed the rise in fuel prices to the dramatic depreciation of the local currency against the US dollar.
On Monday, October 17, 2022, some oil marketing companies adjusted their prices upwards, selling petrol and diesel for GH¢13.10 and GH¢15.99 per litre, respectively.
The upward adjustments represent more than a 10% increment from the last pricing window, with diesel and petrol then selling at an average GH¢11.05 and GH¢13.98 respectively.
Explaining the correlation between the exchange rate and the prices of petroleum, the Head of Economic Regulation at NPA, Abass Tasunti, stated that the high exchange rate is affecting the prices of fuel at the international market as well as the cost of importation.
Speaking in an interview, he said, “the cedi is a major problem. The most volatile items in there in determining the ex-pump prices are the exchange rate and the world market price. We are really exposed to the exchange rate, which has continuously depreciated.”
“The rate also affects the supply of the product because if the cedi is not available and the BDCs bring the product, they will not be able to pay the suppliers, and we will have challenges. Availability of the dollar is key,” Mr Abass Tasunti added.
The increase in fuel prices directly affects transport fares and indirectly affects the prices of basic commodities.
The situation could exacerbate the plight of citizens in an already burdened economy.
As such, scores of Ghanaians have called on the NPA to regulate and stabilize fuel prices.
Responding to the call, the NPA has stated that the authority is not mandated to determine or stabilize the price of petroleum products at the pump.
Absolving itself of blame, NPA has asked the Bank of Ghana and the Economic Management Team to take immediate steps to halt the fast decline of the Cedi against the US Dollar to stabilise fuel prices.
Cedi depreciation
Currently, the local currency is sold at GH¢12.45 to the US dollar at the forex bureaus or the retail market.
As of October 14, the Ghana cedi lost 9.03% in value to the US dollar.
In the latest report by Bloomberg, the cedi has been ranked as the world’s worst-performing currency after Sri Lanka’s rupee among 150 economies tracked.
Meanwhile, the energy think tank, Institute for Energy Security (IES) is predicting a shortage of widespread petroleum products across the country.
According to IES, the scarcity of dollars and depreciation of the cedi, which has eroded some working capital of the Bulk Oil Distribution Companies are the reasons that will trigger the shortage.
Eleven persons who were picked for rioting over ticketing and revenue at the Shukura Lorry Station have appeared before an Accra Circuit Court.
They are: Emmanuel Gyan, 21-year-old unemployed, Seidu Bashiru, 25-year-old trader, Osman Ayariga, 28, Wadudu Awudu, a 32-year-old driver, Haruna Seidu, 31-year-old Porter and Issahaku Sulemana, 26-year-old driver’s mate.
The rest are Hakibu Shaibu, Adams Yusif Haruna, aka Baba, Oly Rahman, David Mayah and Shaban Shaibu.
They have been variously charged with conspiracy to commit crime to wit rioting, rioting and riots and prohibition of activities of land guards.
The accused persons have pleaded not guilty.
The court presided over by Mrs Patricia Amponsah has admitted the accused persons to bail in the sum of GHS50,000 with three sureties one to be justified.
The matter has been adjourned to November 1.
The facts as narrated by Maxwell Oppong are that in September 2022, there was power struggle between the members and executives of the Ghana Private Road Transport (GPRTU), Shukura Branch.
The prosecution said the struggle was in respect of “who controls the ticketing and revenue, ” at the station.
It said the struggle degenerated into protracted conflict between members and executive and the police on several occasions had to intervene.
“The Regional Executives of the GPRTU have also pleaded with the Police to have the matter resolved amicably but the two-groups refused to embrace peace,” the prosecution said.
It said on October 7, at about 5:30am, the Accra Regional Police Command had a distress call indicating that some men armed with guns and cutlasses were attacking people at Shukura Lorry Station.
The prosecution said the Police moved to the scene and six of the accused persons were chased by the Police.
It said among the six persons Gyan, Bashiru, and Ayariga were arrested for wielding cutlasses, but the rest escaped.
The prosecution said Awudu, Seidu and Sulemana, who escaped, returned to the crime scene to continue with their actions.
It said the Police team also came back to the scene and Awudu, Seidu and Sulemana were arrested with four cutlasses and a knife.
The prosecution said Shaibu, Haruna, aka Baba, Rahman, Mayah and Shaibu who were members of the rivalry groups who were seen rioting at the stations were also arrested.
It said many people got injured during the riots.
It said six out of the 11 accused persons said they were allegedly hired by one Abass Mohammed, a secretary of the union.
The prosecution said the said Abass Mohammed was, however, at large.
General Secretary for Ghana Private Road Transport Union (GPRTU), Godfred Abubire has stated that government should have held on till next year before increasing the fuel price, noting very well that times are hard for Ghanaians.
This follows the recent increment in fuel prices.
The Institute for Energy Security (IES) projected that fuel price will increase by October 16, 2022.
This was due to the increases in price of the products on the international market, and the significant decline in the value of the local currency against the American greenback or US dollar.
Speaking on Atinka TV‘s morning show, Ghana Nie with Ekourba Gyasi Simpremu, Mr. Godfred Abubire said it is possible transport fares will be increased by 40 per cent.
He said anything less than 40 per cent would affect their businesses.
When asked if GPRTU does not care if the passengers can pay or not, he said, “If the situation in Ghana is something to talk about, then there is no need for the review of government fares. The government should have held on for next year after January 2023, but at this last moment that it has reviewed charges and all other things, all the insurance bills will also go up.” “We are looking at the action taken by the government and whatever happens, we will get back to the public,” he said.
Meanwhile, the President of Ghana Committed Drivers Association, Charles Danso also on Atinka TV predicted that the increment in transport fares will be about 18 to 20 per cent and not 4o percent as stated by GPRTU.
The Ghana Private Road Transport Union (GPRTU) is targeting a 30 percent to 40 percent increase in transport fares following the recent rise in prices of petroleum products.
The union has said negotiations for the upward adjustment will begin tomorrow.
In an interview with Citi News, the General Secretary of GPRTU, Godfred Abulbire, said such rises as well as other factors have compelled this proposal.
“By Tuesday, we are going to begin our negotiations. We are going to begin our negotiations with the forecast or reports that we have gotten and from there, we will know by what margin [we will increase transport fares].”
“But if you look at it fairly, the fares should not be increased by less than 30 percent to 40 percent. Anything less than that will have a serious effect on the transport sector,” Mr. Abulbire said.
Petrol has started selling at around GH¢13.10 while diesel is selling at GH¢15.99 at some fuel pumps.
Some analysts expect further increases as demand for gas and fuel heading to the winter period increases.
The Executive Director of the Institute for Energy Security, Nana Amoasi VII, for example, expects petrol prices to get as high as GH¢17 per litre.
The last transport fare increases were in May 2020
Transport fareswent up by 20 percent in May where fares were increased by 20 percent.
As of May 9, 2022, when the new fares took effect, petrol and diesel were selling at a national average of GH¢9.41 and GH¢11.12, respectively.
The Ghana Private Road Transport Union (GPRTU) has discredited reports that the union has a deal with waste management company, Zoomlion Ghana Limited, to impose a towing insurance service on members of the union.
Denying the reports in a statement issued on August 19, 2022, Zoomlion noted that: “we have no interaction with Zoomlion in connection with our life-saving and innovative towing insurance, and never will.
Indeed, we are aware that Zoomlion’s business is waste management, and so our connection with them is purely waste collection and nothing else,” the statement stated.
A statement issued and signed for the General Secretary of the union, Godfred Abulbire, last Friday, said the said allegations must have originated from “ignorant and treacherous” individuals.
It added that persons who were behind the false publications were only engineering the “wild allegation in an effort to spark an unnecessary uproar within our rank and file”.
Retraction
The union called for an unqualified apology and a complete retraction of the allegation by any individual or media organisation who originated the publication to bring peace and encourage people to support the towing initiative.
“All such people and media organisations should apologise and retract what has been said, or we will advise ourselves,” the union stressed.
The GPRTU added that it had done broader consultations among its members and got the approval of the National Executive Council (NEC) before rolling out the initiative.
“Over the years, we have taken decisions that have kept our union together without membership ballot.
It is, therefore, unfortunate that someone would want to stir the settled mud within our rank and file for his personal aggrandisement even when it is obvious we meant well for every Ghanaian,” the statement added.
Towing service
The union observed that against the backdrop of 1,300 persons being killed in road accidents in Ghana between January and June this year, it found the towing service a good step to reduce the crashes.
The union noted that some of those crashes were largely associated with stationary vehicles on the road, as reported by the National Road Safety Authority.
It added that the fact that 8,000 people sustained various degrees of injuries during the same period added to the compelling evidence for a road towing service.
The union stressed that because of the seriousness it attached to the towing project, members would not be allowed to load from their stations if they failed to subscribe.
“We have launched an app to aid our members easily get access to towing vehicles in times of need at anytime and anywhere, and the over 2.6 million vehicles operated by our members shall subscribe to the initiative through the app, with details of their vehicles,” the union stressed.
Background
The GPRTU launched a new digital vehicle towing policy last week to promptly remove breakdown vehicles from the road.
The union directed that effective October this year, all of its drivers were required to subscribe to the mandatory vehicle towing system.
The new towing system, which is being rolled out in partnership with the Road Safety Management Service Limited (RSMSL), a private entity, allows drivers to subscribe to an online application to deliver the service.
The contractual agreement between the GPRTU and RSMSL requires vehicle owners to pay annual subscription fees depending on the type of vehicle.
Per the payment regime, taxis will be charged GHC50; trotros, GHC80; long buses, GHC300; and articulated trucks, GHC500.
The Industrial Relations Director for GPRTU, Alhaji Abbas Ibrahim Moro, has stated that the GPRTU will not increase transport fares now despite the hike in fuel prices.
The Ghana Private Road Transport Union (GPRTU)stated earlier that it would hold a crunch meeting next week to deliberate on a “possible†upward adjustment of transport fares.
The Union said the meeting had become necessary due to what they described as “significant hikes†in fuel prices over the past few weeks.
Prices for petrol and diesel have shot up by 7.3 per cent and 9.7 per cent respectively, in the last month.
Currently, petrol is trading at an average of GH¢10.10 per litre, while the national average for diesel is pegged at GH¢12.20 per litre.
Transport fares went up by 20 per cent last month.
As of May 9, 2022, when the new fares took effect, petrol and diesel were selling at a national average of GH¢9.41 and GH¢11.12, respectively.
Speaking on Atinka TVs Ghana Nie morning show with Ekourba Gyasi Simpremu, Alhaji Abbas Ibrahim Moro said if the fuel price continues to increase, the GPRTU will be forced to raise transport fares.
Meanwhile, he said the Union was going to educate the public on the fuel increment.
“It is not that we are going to increase lorry fares now, with transport operation, it takes a lot of fuel to run but with where the fuel prices have gotten to, it is alarming, and so now we are sensitizing the people for them to know that it is not our fault, but if it continues, then we will also change the fares immediately,†he said.
He continued,†For now, we will not increase it, but we have a threshold, and when we reach there, we can increase it. We will sit down and talk about it and put down some measures. We want to analyze everything so that we come out with something; it will sit well with all Ghanaians.â€
Ghanaians participating in the country’s required service, National Service Scheme (NSS)Â believe they are the most affected by the Ghana Private Road Transport Union’s 20% increase in transport fares on May 7.
Christian Yalley expressed his dissatisfaction with the fact that transportation consumes more than half of his monthly allowance of GH559.04.
Due to the nature of his profession, he commutes from Legon to Kokomlemle every weekday and occasionally on weekends. He used to pay GH4 to get from Legon to Kwame Nkrumah Circle, but now he has to spend GH5.
He should typically pay GH4.80 as the new fare to reflect the 20% increase.
“Now when you move from Circle to Legon, you pay GH6 instead of GH5. I used to pay GH9.00 daily for transportation but now it is GH11. This has really become a fly in the ointment for me and it is the same with other NSS persons.â€
Based on the number of days he works in a month, he spends about GH330 on transportation.
Christian now has GH229.04 to spend on food, health, and emergencies.
“That is really biting hard considering the meager allowance we receive as National Service Personnel.â€
Another NSS source, who asked to remain anonymous, expressed concern about the deteriorating situation.
Kojo (not his real name) spends nearly GH20 to go from Kotobabi to his workplace in Korle-Bu and back. He crosses the GH20 threshold due to an unforeseeable situation.
Working 20 days in a month means devoting GH400 on transportation, leaving him with less than GH200 to live on.
They believe that an increase in the allowance offered to NSS workers would be sufficient to protect them from the country’s exorbitant living costs.
“One way this could be rectified is increasing the allowance. If a GH100 or GH200 is added to the existing GH559 that we take, that could cushion most of us.
GPRTUÂ previously urged Ghanaians to understand why they had to raise transportation fares by 20%.
The rise in transportation expenses, according to Mr. Godfred Abulbire, the Union’s General Secretary, is intended to allow Union members to pay the cost of maintenance and service supply while reducing the effects of rising fuel prices.
Mr Abulbire claimed that the pricing may have been higher, but leadership chose not to take into account the rise in spare component prices and insurance company fees.
“Most of our members from the regions, drew our attention to the fact that we should let them charge 20 per cent for the fact that most of the citizens are not (in the best position). Leadership understood that and readdressed them to increase by 20 per cent. We are limiting our increment based on fuel. Our fares being increased by 20 per cent is fair,†he told Citinews.
The Ghana Private Road Transport Union (GPRTU) is appealing to Ghanaians to understand why they had to raise transportation fares by 20%. They are urging the public to accept the change with open minds.
That, however, is not the case. People are enraged, primarily because they believe the price difference between the old and new fares is too large, and it is already affecting their wallets.
Mr. Godfred Abulbire, the Union’s General Secretary, noted that the increase in transportation costs is intended to enable Union members shoulder the expense of maintenance and service provision while mitigating the consequences of rising fuel prices.
Mr Abulbire suggested that the prices could have been higher, but leadership decided not to factor in the surge in prices of spare parts and charges paid to Insurance companies.
According to him, the initial rate recommended by leadership was 30%. However, in response to member complaints across the country, a 20% rise in fares was agreed upon.
“Most of our members from the regions, drew our attention to the fact that we should let them charge 20 per cent for the fact that most of the citizens are not (in the best position). Leadership understood that and readdressed them to increase by 20 per cent. We are limiting our increment based on fuel. Our fares being increased by 20 per cent is fair,†he said.
The General Secretary went on to say that, because of the great economic difficulty, there is little that can be done to reverse the increase in transportation fares.
Mr Abulbire, on the other hand, expressed regret to the people for the little notice given, to accept the adjustment. He also pleaded with Ghanaians to be patient with the Union’s decision to protect public transportation providers.
“It is the short notice that we have given to our customers that might be worrying. We apologize to them and ask them to bear with us.â€
The GPRTU’s defence comes after the Union was chastised for its latest edict. Until Monday, May 9th, numerous transportation operators continued to use the previous fares.
Some commuters in Accra who spoke with Citi Newsroom expressed discontent with the fact that they had to adjust their daily budget. They argue that the increased transportation costs will exacerbate their already strained finances.
Meanwhile, the Ghana Road Transport Coordinating Council (GRTCC) has also questioned the GPRTU’s ability to independently review transportation fares. According to GRTCC, no single union has the authority to establish the percentage increase in rates.
“We wish to state that, transport fares have always been negotiated for and on behalf of all operators by the Ghana Road Transport Coordinating Council and the Ghana Private Road Transport Union, no single union or group has the capacity to determine the quantum of increase except the two bodies mentioned above,†the Council noted in a press statement.
In light of this, the Council has urged the public to disregard the 20% fare increase.
Henceforth, transport fares will be adjusted automatically anytime fuel prices go up more than 10 per cent cumulatively, the Ghana Private Road Transport Union (GPRTU) has said.
The Union said the recent 15 per cent increment in transport fares, which took effect on February 26, 2022, was based on previous increment in fuel prices and that it would review transport fares upwards by 10 per cent if the gradual increments in fuel prices crossed 10 per cent.
Mr Richard Yaw Amankwah, Deputy General Secretary in Charge of Operations, GPRTU, told the Ghana News Agency that the Union was worried about the rising cost of fuel at the pumps, hence it’s decision to benchmark transport fares against fuel prices to sustain the transport business.
“We have indicated that whenever fuel prices go up above 10 per cent as of the time, we were increasing transport fares (February 26), we will adjust the fares upwards.
“So, we are still monitoring the prices. Even today it has gone up, so we are just marking time. When it is up to the 10 per cent increase, the same margin would be added to the transport fares,†he said.
Private commercial transport operators had initially proposed a 30 per cent increment in transport fares ahead of its negotiations with the Government last month.
The transport operators, after three successive meetings with the Government, agreed to reduce the rate to 15 per cent. The new rate took effect on Saturday, February 26, 2022.
Mr Amankwah said the implementation of the new rate had been smooth across the country despite initial agitation by some operators about the rate.
“It was in Ashaiman that we had some problem on the day it started but we quickly intervened. Apart from Ashaiman, we have not heard any problem all over the country,†he said.
Ex-pump prices for petrol and diesel went up by some 30 pesewas per litre on March 1, 2022, trading at an average GHC 8.20.
Some market analysts have projected that prices at the pumps could shoot up to GHC9.0 per litre if nothing was done to check the rate at which the cedi is depreciating against the US Dollar.
The continuous rise in the price of Brent Crude on the international market has also been blamed for the instability in prices of petroleum products locally.
The Institute for Energy Security (IES) had projected that the prices of petrol and diesel would go up by at least 4 per cent this week, citing the performance of the cedi against the Dollar as a major catalyst.
In its review of the February 2022 Second Pricing Window, the IES found that the cedi depreciated by 4.11 per cent to close at GHC6.85 to the Dollar in the last pricing window.
The Chamber of Petroleum Consumers (COPEC) had also projected that ex-pump prices of petrol, diesel and LPG would increase by about 4.6 per cent, 3.4 per cent, and 2.5 per cent respectively from March 1, 2022.
It projected that both petrol and diesel would trade at an average GHC8.190 per litre whereas LPG would sell around GHC9.163 per kilogram in the First Pricing Window of March 2022.
In a press release dated January 10, the Association noted that the upward adjustment has been necessitated by the unbearable hardships facing drivers currently.
“It must be noted that we commiserate with Ghanaians on the current economic hardship but in order to keep us in business, we are left with no other option but to adjust transport fares a little upward which is a 40% increment,†part of the statement reads.
C-DAG stated that the increment is influenced by a number of factors including the price of fuel at the pumps, the increase in the prices of vehicles and the increment of spare parts and lubricants.
“It must be noted that we also experience the economic conditions of the country. It has become extremely difficult for us to manage our homes as prices of basic commodities, including sachet water have also seen an upward increment,†they added.
The Association urged Ghanaians to embrace the new “transport fares when it takes effect from Monday, January 17, 2022.â€
The Association also encouraged Ghanaians to avoid fighting drivers and their conductors when the new fares are implemented.
Social commentator, Bernard Allotey Jacobs has called on the Ministries of Transport, Roads and Highways to hold a stakeholder meeting with the Ghana Private Road Transport Union (GPRTU) and all other transport unions to educate their drivers on the causes and effects of road accidents.
Allotey Jacobs believed education will help curb the numerous road accidents in the country.
Speaking on Peace FM’s ”Kokrokoo”, he noted that a lot of accidents are caused by reckless driving and other careless attitudes of vehicle drivers on the roads.
He called on the transport unions to put their drivers into order.
“The Ministry of Transport, Ministry of Roads must hold a meeting with GPRTU because sometimes, it’s the responsibility of the GPRTU and other transport unions. There is the need to engage them. Their drivers are misbehaving,” he stated.
The Ghana Private Road Transport Union(GPRTU) has reacted to the news of whether or not to legalize Okada by stating that the move to legalize Okada can only be welcomed if the necessary regulations are put in place to ensure the safety of Okada drivers and their passengers.
Speaking to Samuel Eshun on the Happy Morning Show, National Chairman of the Ghana Private Road Transport Union, Kwame Kumah stated: “As at now, Okada is illegal. But I have heard that there is a conversation to legalize Okada.
“If the leaders can put in place measures that will ensure safety through certain regulations, that will help. If that is not put in place, the Okada job as it stands now is disturbingâ€, he said.
He reasoned that at the moment, there are no regulations such as the insurance of Okada and as such people are not safe riding on Okada.
“As Okada is not legal in Ghana, there is no insurance covering the drivers and their passengers, so if it is legalized, these things must be put in place.â€
The flagbearer of the National Democratic Congress (NDC), John Dramani Mahama, has disclosed that he will legalize Okada should he win the 2020 general elections.
He states that it is important to legalize this field to serve as a form of livelihood to a lot of people.
However, some have criticized the ex-president for promising the legalization of regulation of motorbikes for commercial purposes popularly known as Okada as they argue that this form of business has claimed many lives; causing more harm than good.
As it stands now, Section 128 (1) of the Road Traffic Regulations, 2012 states: “The licensing authority shall not register a motorcycle to carry a fare-paying passenger.â€
The former president has, however, said that the business will be legalized when he comes to power.
The leadership of the Ghana Private Road and Transport Union (GPRTU) is urging passengers to report drivers who charge unapproved fares to authorities of the transport union.
According to them, no driver must increase the transportation fare beyond the 15 percent approved by government.
The Chairman of GPRTU, Kwame Kuma in a Citi News interview said the doors of the national and regional officer of GPRTU are open to help resolve any such challenge especially in cases where the station officers fail to take action against errant drivers.
“At the stations, we have officers there and if they are not taking action, let the region know so that we can work on it and get the local chairman. They need to calculate and make sure that the drivers take the actual fares,†Kwame Kuma said.
On Saturday 11th July 2020, a 15% increment in transport fares approved by the government took effect.
A deputy Transport Minister, Nii Kwartei Titus Glover had told Citi News that the decision was taken after a meeting with transport operators on Tuesday, July 7, 2020.
He said the transport operators made an alternative proposal which was for the government to allow them to revert to carrying their usual full seating capacity or for the fares to be adjusted upwards by 30%.
Titus Glover said after considering both proposals, the government decided to approve the increment in transport fares by 15%.
Even before the amount took effect, some transport operators had increased the fares beyond 15%.
The Greater Regional Branch of the Ghana Private Road Transport Union (GPRTU) says it may reduce the number of passengers who board its commercial buses.
GPRTU said the move is part of precautionary measures the union is considering to reduce the spread of COVID-19 in Ghana which also falls in line with directives by President Nana Akufo-Addo for the public to observe social distancing.
Explaining how it will be implemented, the Industrial Relations Officer of the Greater Regional Branch of GPRTU, Abass Ibrahim Moro said the number of passengers per seat will be reduced to avoid crowding in the trotros.
“We, GPRTU Greater Accra, thought it wise to show concern about how to protect ourselves from the Coronavirus. We suggested the reduction of the number of passengers. For instance, in the cars which take three passengers per row, we will reduce it to two, while the Sprinter buses which take four passengers per row would be reduced to three,†he said.
He, however, suggested that passengers may be paying more to make up for the losses as a result of the fewer numbers, adding that the government could come up with other suggestions as to how to ensure that they are not adversely affected by such a move.
“…We can do that if the government will agree that the number of passengers that we are going to reduce, they will calculate the cost and defray that cost…or if the government can come up with coupon travel or any other thing they will decide which will cater for the reduced number of passengers we may be conveying,†he said.
Some Ghanaians have been calling for adequate precautionary measures by transport owners to protect them since the majority still depend on public transport for their commute in the country.
Among the suggestions was the reduction in the number of passengers to comply with the social distancing directive given by President Nana Akufo-Addo.
President Nana Addo Dankwa Akufo-Addo has appealed to transport operators and owners in Ghana to dialogue with the Government to find ways by which they can modify the existing public transport policy in order to support his administration’s efforts aimed at curbing the spread of Covid-19 which is currently sweeping across the globe.
In an interaction with transport owners at the Jubilee House in Accra on Tuesday, 24 March 2020, Nana Akufo-Addo indicated that it has become necessary for his government to engage transport owners to find ways through which their sector can make some compromises in the interest of public safety and health.
“You are responsible for moving our people around the country, private and public transport. So comes the question, how are we going to organise it in such a way that our people can still move around but do so taking into account this disease that is ravaging the world. I want us to have a conversation top see the arrangements we can put in place to achieve same,†Nana Akufo-Addo said.
Since Ghana recorded infection cases in the coronavirus pandemic, there have been calls for sweeping reforms in various sectors of the country’s economy. Prominent amongst the calls is the reduction of how many passengers public transport operators (Trotro) should seat per roll in order to observe the social distancing policy in public vehicles.
President Akufo-Addo and the transport owners after the introductory remarks moved into a closed-door session to reach a compromise over the proposals of the government.
Ghana has confirmed 53 cases of COVID-19 with two death.
The Chairman of the Ghana Private Road and Transport Union (GPRTU), Kwame Kuma, has hinted that the Union will no longer allow preachers on their vehicles until further notice.
This according to him is because some preachers spew spits on passengers, an act that has the potential of spreading the dreaded coronavirus.
He advised all passengers using public and commercial transports in the country, to stop engaging in political arguments, saying all are measures being adopted to control the spread of the virus.
Mr Kuma argued that some Ghanaians have the habit of engaging in unnecessary arguments about politics and football on commercial transports and by that means, saliva is spread from one person to another.
“My advice to passengers is that they should stop enga
ging in unnecessary arguments and debate when they are in commercial transport and rather have them when they go home.”
Speaking on Accra based radio station, StarrFM, Mr Kuma said GPRTU would also stop all those who mount public transport to sell local medicine.
He alleged commercial drivers have been asked to offer passengers going on short distance journeys, hand sanitisers to protect themselves, while passenger going long-distance would be provided with soap and water in addition to the hand sanitisers.
He revealed that the Union supported all the directives issued by the government and would meet tomorrow to educate their members on
how to enforce the directives.
He added that after tomorrow’s meeting, GPRTU would visit the various transport unions to ensure strict enforcement of these directives.
Meanwhile, an observation made by Daily Heritage yesterday morning indicated that some commercial vehicle drivers were yet to use sanitisers and other measures.
Background
Ghana announced two suspected cases of coronavirus last Thursday, March 12, 2020 but as of yesterday, March 16, the cases had risen to six confirmed cases leading to the shutdown of basic and secondary schools as well as universities and other tertiary institutions.
The Chairman of the Ghana Private Road and Transport Union (GPRTU), Kwame Kuma, has hinted that the Union will no longer allow preachers on their vehicles until further notice.
This according to him is because some preachers spew spits on passengers, an act that has the potential of spreading the dreaded coronavirus.
He advised all passengers using public and commercial transports in the country, to stop engaging in political arguments, saying all are measures being adopted to control the spread of the virus.
Mr Kuma argued that some Ghanaians have the habit of engaging in unnecessary arguments about politics and football on commercial transports and by that means, saliva is spread from one person to another.
“My advice to passengers is that they should stop engaging in unnecessary arguments and debate when they are in commercial transport and rather have them when they go home.”
Speaking on Accra based radio station, StarrFM, Mr Kuma said GPRTU would also stop all those who mount public transport to sell local medicine.
He alleged commercial drivers have been asked to offer passengers going on short distance journeys, hand sanitisers to protect themselves, while passenger going long-distance would be provided with soap and water in addition to the hand sanitisers.
He revealed that the Union supported all the directives issued by the government and would meet tomorrow to educate their members on how to enforce the directives.
He added that after tomorrow’s meeting, GPRTU would visit the various transport unions to ensure strict enforcement of these directives.
Meanwhile, an observation made by Daily Heritage yesterday morning indicated that some commercial vehicle drivers were yet to use sanitisers and other measures.
Background
Ghana announced two suspected cases of coronavirus last Thursday, March 12, 2020 but as of yesterday, March 16, the cases had risen to six confirmed cases leading to the shutdown of basic and secondary schools as well as universities and other tertiary institutions.
The Ghana Private Road Transport Union (GPRTU) has served notice that they will from next week prevent passengers without hand sanitizers from boarding their buses.
According to the North Darkuman branch of the GPRTU, they have started disinfecting the buses and every bus that will be on a scale from today will be disinfected.
Branch secretary of the North Dakuman GPRTU, William Owereku said passengers are from next week encouraged to come with their hand sanitizers.
“We are disinfecting the buses, the seats where passengers usually hold and everywhere. Anytime a bus is on a scale to load they have already been disinfected, we are also advising the passengers to come with their hand sanitizers, if from next week you don’t have we will not allow you to board our bus. These are some initial measures being taking..”
There have been many concerns after the President yesterday banned public gatherings for four weeks, among some of the concerns is how people will protect themselves in commercial vehicles.
These commercial vehicles have turned out to be the most common means of transportation in the country.
Former government officials ready to help fight Covid-19 – Mahama
Former President and flagbearer for the NDC, John Mahama said former appointees during his tenure are ready to help the government in its fight to prevent the spread of Covid-19.
Speaking on the Covid-19 outbreak and the confirmed cases in Ghana, John Mahama said appointees of his administration who assisted in the country’s readiness effort during the ebola crisis will be available to assist if being called upon.
“Former appointees who assisted in our readiness effort during the ebola crisis will assist the government in any way they can if requested to do so..”
In a Facebook address, John Mahama also called on ECOWAS and the UN to put in place enforceable protocols in dealing with the pandemic.
The Greater Accra regional branch of the Ghana private road transport union(GPRTU) has outdoored ultra-modern Toyota minivans to boost the day to day administration of the union and generate income to support the union’s administrative work
Regional chairman of the union, Emmanuel Nii Ankrah said the union is taking steps to remedy challenges currently facing the union.
He also commended the Ghana Commercial Bank and Svalnni Automobile for their support.
The union under the able leadership of Mr. Emmanuel Nii Ankrah and his executives
Facilitated a parcel of land belonging to the union behind the Tradesfair centre for use by the DVLA.
The union has also witnessed many transformations through the leadership of Mr. Emmanuel Nii Ankrah who has introduced a Friday wear for drivers within the Greater Accra Region.
He also gives out free yearly calendars to drivers.
In all, Twenty Eight buses were commissioned to start works whiles the executives waits the remaining buses for distribution later in the year.
The union as part of their cooperate social responsibility, donated items including water tanks, soaps, toiletries and assorted drinks to the accident centre at the Korle Bu Teaching Hospital.
Following the implementation of the Motor Insurance Database (MID) to check the menace of fake insurance stickers, the Greater Accra Regional Executives of the Ghana Private Road Transport Union (GPRTU) of the Trades Unions Congress (TUC) paid a courtesy call on the Management of the National Insurance Commission (NIC), the Regulator of insurance entities in Ghana.
Moved by their excitement at the new development, they lauded the NIC for its bold initiative and thought it had been long overdue.
The delegation led by its Chairman, Mr. Emmanuel Nii Ankrah nonetheless expressed their concerns regarding their assumption that the premium rates have been increased particularly those being charged on 2020 registered vehicles.
The Commissioner of Insurance, Mr. Justice Yaw Ofori on his part explained that premiums had not been increased but because insurance companies are now complying and charging the rightly regulated premiums on particularly the 2020 registered vehicles through the database effective January 1, 2020.
Mr. Ofori bemoaned the situation when, in the past, some insurance companies were undervaluing vehicles and competed on prices rather than on service thus making it quite challenging for some of them to pay genuine claims promptly.
“Huge claims arising out of fatal accidents involving commercial vehicles had been a major headache for many insurance companies as they were not liquid enough to honour claims promptly resulting from the lower-than-regulated premiums they had charged in the pastâ€, The Commissioner cited these as some of the reasons some members of the insuring public do not have confidence in insurance companies.
He, however, stated that with the MID, it is expected that insurance companies will be in a better position to pay genuine claims promptly to the utmost protection of policyholders and innocent third parties.
The delegation expressed their delight at the move as it has been the challenge of the leadership of the GPRTU when their members fall victim to the menace fake insurance stickers.
They lamented the situation where some of their unsuspecting member drivers were cowed into purchasing cheap motor insurance with stickers which looked exactly like the originals. The reality dawned on these drivers only after they were involved in accidents that warranted a claim which was repudiated by the Insurance Companies they were purported to have insurance cover with.
Mr. Justice Ofori expressed his appreciation to the leadership, not just for their cooperation at the new development in the Insurance sector but also saw it as an issue of national importance and had embraced the initiative that would help sustain the livelihoods of families of accident victims economically.
The MID was implemented on January 1, 2020 and is providing a centralized system from which security agencies and the general public including passengers of vehicles can check the validity of a vehicle insurance instantaneously.
The checks can be done through the use of a mobile phone, receipt of acknowledgement of transaction via a text message or by scanning a QR code on the insurance sticker by the Police MTTD.
Mr Ofori also hinted to the delegation that the NIC has since launched a nationwide training of Personnel of the Police Motor Traffic and Transport Division (MTTD) to enable a smooth enforcement of the database.
The Executives having received a conviction after having obtained these clarifications pledged their support to the Commission by way of educating their members so as not to fall prey to dealers of fake insurance and requested copies of the actual regulated premiums rates which they were provided as they used the opportunity to intimate their plans of rolling out an educational campaign to their members to which the Commission had no objection with the Management pledging their unflinching support to one of its biggest stakeholders the GPRTU.
As of February 17, the MID has recorded over 78,000 newly insured vehicles.
