Transport Fare Increment Likely, GPRTU Sticks to 30%
High Possibility of Transport Fare Increment, GPRTU’s Proposal Remains at 30% for Now
Commuters may want to brace themselves the Ghana Private Road Transport Union (GPRTU) says a fare increase is looking increasingly likely, though the final figure is still up in the air.
According to Deputy Public Relations Officer Samuel Amoah, negotiations with the Ministry of Transport are still ongoing, following a fare increase proposal the union submitted ahead of the current pricing window.
The two sides met last Tuesday and agreed on a next step: forming a committee to assess the various cost inputs driving transport expenses, with a report expected soon.
Our last meeting was on last Tuesday and then we all agreed that a committee has to be formed for the committee to check on the price input for them to submit their report hopefully before the close of this week, Amoah said.
Speaking to Alfred Ocansey on TV3’s Ghana Tonight on September 15, Amoah made clear that GPRTU’s next move depends heavily on what that committee finds. We are waiting for the committee to submit their report so that based on that we will also decide on the percentage increment,he explained.
For now, the union’s official position hasn’t changed. We are still on the 30% proposal, waiting for the committee to submit their report before a final decision will be taken, he said.
While nothing is locked in yet, Amoah didn’t sugarcoat where things seem to be heading. From how things are going, the possibility of transport fare increment is very high, he said, giving commuters a fairly clear signal that some kind of increase is likely once negotiations wrap up.
Part of what’s driving this conversation is the outlook on fuel costs. According to the Chamber of Oil Marketing Companies (COMAC), petrol prices are projected to rise by about 9.63%, with diesel expected to climb 6.97%. LPG isn’t far behind either, with a projected increase of 3.22%.
In real terms, COMAC’s cash-purchase ex-pump price projections put petrol at around GH¢17.23 per litre and diesel at GH¢18.35 per litre. On the lower end, based on the National Petroleum Authority’s (NPA) price floors for the second pricing window of September, petrol won’t drop below GH¢16 per litre, with diesel floored at GH¢16.77 per litre.
With fuel costs moving in this direction, it’s easy to see why transport fare hikes are looking more likely by the day though for now, everything hinges on what the review committee reports back.
