General News of Monday, 27 January 2014

Source: Ivan Korshie

Transport fares 20% up

The Ministry of Transport has approved a 20 percent increase in transport fares effective Monday January 27.

This follows a meeting between the Ministry of Transport and the Ghana Private Road Transport Union (GPRTU) and other transport unions in the country.

The driver unions had earlier suggested a fifty percent increase in fares, however, after the ministry’s negotiation with the unions, the fares were worked down to 20 percent.

Deputy Minister of Transport, Ms Joyce Bawa Mogtari, in an interview with Radio Ghana explained that the increment is as a result of persistent rise in fuel prices and the increasing cost of vehicular spare parts on the market.

“All these increments have come about because of the cumulative increments by the national petroleum authority, parts of vehicles have gone up and also you will have to consider the amounts that they pay to drivers,” Ms Mogtari elucidated.

She, however, assured that the rates could be maintained for the next six months if fuel prices do not rise above a ten percent threshold.

“For now, the National Petroleum Authority has assured us [that] the next increment, which is supposed to be in February, will not exceed ten percent (10%). If indeed the cumulative increment does not exceed ten percent, the increment in transport fares will be maintained for the next six months,” she added.

When asked whether the transport ministry had any measures to mitigate the looming hardship commuters could be encountering, Mrs Mogtari stated that the ministry doesn’t have any mitigating measures for people who cannot afford the increases.