Opinions of Monday, 12 December 2011

Columnist: Yeboah, L. Kojo

Is Ghana’s NDC Government Really About to Ban Used Vehicle Imports?

There are three inalienable truths in Ghana. (1) The Sun rises in the east and sets in the west: (2) Most Ghanaians magically live above their means: (3) At least, once a week, one of our politicians or leaders will gaffe so badly in public that we will be left scratching our heads wondering if his/her mouth was connected to the brain while he/she spoke.

On December 9, 2011, Joy Online published an item captioned “Ghana moves to ban importation of second-hand cars but...” The piece which has subsequently been published by other News media, quotes Ms Sherry Aryittey, Ghana’s Minister for Environment, Science and Technology at a United Nations Climate Change Conference in Durban, South Africa.

The Minister reportedly said “we are going to come out with a new law that will ban the importation of second-hand vehicles into Ghana. We’ve done a lot of research into these areas.” Really, has the NDC government researched the issue of pollution in Ghana and come up with this as the solution? Is the government so collectively inept or has this Minister gone rogue or tackled an issue above her head?

In a country where citizens burn anything and everything without regulation, how does the Minister or the government conclude that used vehicles are the main pollutants? (1) Did the Minister or the NDC government look at the amount of pollution arising from ‘slash and burn’ when Ghanaian farmers cut and burn trees that remove carbon from the atmosphere? (2) Did the Minister or the NDC government look at the amount of pollution created when Ghanaians burn trees to create charcoal or burn that charcoal, logs or sawn dust for household energy needs? (3) Did they look at pollution from the various cottage industries that burn hydro carbon products?

Let us suppose for the sake of argument that the Minister & the government diligently collected data on causes of pollution in Ghana and correctly identified ‘used vehicles’ as the main culprit, will banning the importation of second-hand vehicles into Ghana solve the problem? The answer is a big NO. A ban will actually achieve the opposite. It will be economic and logical asininities for our nation.

Economically, a ban on ‘used vehicles’ will be too expensive for citizens and the government alike. Ghanaians with the exception of some callous thieving politicians, some slick drug barons and few very rich folks, cannot afford brand new cars. Where are the financial institutions that will grant credit to citizens for brand new vehicle purchases? Where are the insurance companies that will guarantee loans and vehicles in cases of default and accidents? It is these institutions that make it possible for citizens of developed countries to buy brand new vehicles. ALMOST NOBODY PAYS CASH FOR A NEW VEHICLE ANYWHERE IN THE DEVELOPED WORLD!

How much does Ghana’s government collect yearly on imported used vehicles? Can the government afford to lose that revenue? If the Minister and the NDC government think that Ghana’s middle income economy no longer needs revenue from ‘used vehicle imports’ then they should remove the heavy yoke placed on Ghanaian shoulders by PNDC Law 330 of 1993. Surely, Agya Atta can remove this dead weight his former boss, President Rawlings, slapped on Ghanaians when the country was destitute.

The faulty logic of the Minister or NDC government goes like this: Used vehicles will be banned because they pollute more than their brand new counterparts. This argument commits the fallacy of hasty conclusion and is actually ill suited for our Ghanaian situation. Every Ghanaian knows that there are ancient rickety unmaintained fuel guzzlers plying our pot hole filled roads, spewing dense blue smoke into the environment with impunity. If the Minister has any idea about what she is doing then the government should be proposing laws to get rid of these vehicles.

It is worthwhile to note that the Deputy Transport Minister, Dzifa Attivor reportedly disclosed on Multi TV that “rickety vehicles used as commercial vehicles on the streets of major towns and cities in the country will soon be a thing of the past as government readies to procure new vehicles to be used as commercial vehicles,” Joy Online December 10, 2011.

As usual our government is going about this wrong. Borrowing money to buy new government commercial vehicles will not get rickety private commercial vehicles off our roads. It will just add more vehicles on our roads hence more pollution. Does anybody remember what happened when the government got rid of TATA BUSES? King of kings bought and operated those government discarded vehicles till smoke was coming out of the ears of their drivers.

FREE ADVICE FOR THE GOVERNMENT, LEGISLATURE INCLUDED: (1) Do not enact laws to ban used vehicle imports. You will create a situation where Ghanaians will be forced to drive the old vehicles in the system to dilapidation. That will increase and not reduce pollution levels. It will also impact negatively on the country’s new found middle income economy status.

(2) Enact and most importantly ENFORCE legislation to control vehicular emissions in the country. Since Ghana currently has no technology to measure exhaust pipe emissions, plan to acquire that technology. In the meantime create a joint DVLA and police task force that will inspect and enforce vehicular road worthiness, not just collect bribes to line individual pockets.

(3) Implement cut off age for vehicles on Ghanaian roads. For example ban vehicles older than 20 years unless they are maintained as classics and only used occasionally. Modify PNDC Law 330 of 1993 and use it as an incentive to help Ghanaians replace their old cars. For example persons who get rid of vehicles older than 20 years old should be allowed to import into the country vehicles that are 7 year old or less, duty free and tax free. Any Ghanaian with some sense about vehicles, know that 95% of the time, a 6 year old “home secondhand” is in a better condition than a 2 year old vehicle plying Ghanaian roads.

Finally, the government should reduce import charges on all used vehicle models 7 years old or less. As mentioned above, a policy change will incentivize Ghanaians to replace the fuel guzzling heavy polluters. The government should also revamp the banking and insurance industries. A responsible insurance policy on vehicular accidents is necessary for Ghanaians to enter the new vehicle credit market.

Written & submitted on Dec 10/11 by L. Kojo Yeboah, Raleigh NC USA (the author blogs at ghanao.com)