Public transports users may likely experience an increase in transport fares in the coming days as the Private commercial road transport operators and the Ghana Private Road Transport Union (GPRTU) serve notice of possible hike in fares.
According to these driver unions, they maybe forced to increase their prices if government does not meet their demands to remove or reduce some taxes on petroleum products which they believe are the cause of the recent increase in fuel prices.
In a press statement sighted by ABC News, these key stakeholders in the transport industry expressed disappointment in the government “for not putting in place any mitigating or stabilization measure to curtail the hikes in fuel and petroleum products in Ghana”.
“Our disappointment stems from the failure of the government to commit to its assurance to operators that it will continue with efforts to prevent a steep rise in input cost,” they said in a press release dated October 11.
“It was based on this assurance that members of the Ghana Road Transport Co-ordinating Council agreed to increase transport fares by 13% on 2nd June, 2021.”
They are, therefore, simply asking government to review the taxes on petroleum products, especially on Diesel and Petrol. In addition, they are also urging government to scrap the following taxes as a matter of urgency: Special Petroleum Tax (46pessewas/Litre), Price Stabilization and Recovery Levy (16 pessewas/litre), BOST Margin (9 pesewas/litre), and Sanitation and Pollution Levy (10 pesewas/litre).
“We also believe that the Energy Debt Recovery Levy and the Energy Sector Recovery Levy should be merged and reduced to 30 pessewas per Litre. We believe that the removal of these taxes will reduce the prices of diesel and petrol by Ghc1.20/Litre each,” they stressed.
The groups therefore indicated that failure by government to meet their demands, the operators threatened, will culminate in “no alternative than to increase our fares by 20% to recover the cost of our operations and debt we have incurred during these price increment”.