The General Secretary of the Ghana Private Road Transport Union, Godfred Abulbire, has indicated that the Union will increase transport fares. This, he noted will take effect once Parliament approves the budget.

Mr. Abulbire believes that drivers will be affected should transport fares remain increased.

According to the union, the 2021 budget contains a number of taxes that will affect their operations hence the decision.

“The moment Parliament approves the 2021 budget; we are sure that we will come out with lorry fares increased by a certain margin. We don’t want to make reference to the fuel price adjustments. Because there are other components like the road tolls which have also been increased.

“Usually, the practice has been that when fuel price is adjusted by a certain percentage then we are also informed to increase fares by a certain percentage. But now, we can see that from the budget proposals, there are so much into it which will have more effect than the fuel itself”.

Unauthorized increase in transport fares

The GPRTU issued a statement on Tuesday, March 16, 2021, asking its members to desist from increasing transport fares.

Additionally, it stated that one of the major items considered during a review of transport increment is petroleum prices.

“We have followed with keen interest the recent budget statement which hinted of an adjustment in fuel prices.

“We as Transport Owners will sit down with government to consider the various component that goes into the running of commercial road transport services”.

Government proposed petroleum charges insensitive

The Chamber of Petroleum Consumers has earlier described the proposed petroleum charge as a lazy approach. It stated that it does not to address challenges within the energy sector.

Executive Secretary of COPEC, Duncan Amoah, said such development is insensitive. Especially as many Ghanaians and their businesses are still reeling from the impact of COVID-19. And there has already been about 11% hike in fuel prices over the past two months.

“This is quite predictable. But again, one would have expected that there would be some sensitivity to the times. And the fact that Ghanaians and businesses are still reeling under the COVID-19 effect,”.

During the budget presentation last Friday, the Caretaker Finance Minister, Osei Kyei-Mensah-Bonsu stated that petroleum prices will increase by 5.7% at the various pumps together with an increase in road tolls.

He explained that the new tax–the Sanitation and Pollution Levy is to fund efforts to fund investment in the areas of sanitation and pollution.

Mr. Osei-Bonsu stated that it has become necessary for government to consider a review of the energy sector levies. Subsequently, he submitted the Energy Sector Recovery Levy of 20 pesewas per litre on petrol/diesel for approval.

“To provide the requisite resources to address these challenges and fund these activities, the government is proposing a Sanitation and Pollution Levy (SPL) of 10 pesewas on the price per litre of petrol/diesel under the Energy Sector Levies Act (ESLA).