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Transport Ministry has no authority to regulate fares – COPEC

Source The Ghana Report

The Chamber of Petroleum Consumers (COPEC) has criticized the Transport Ministry for its recent directive to the Ghana Police Service regarding the implementation of new fares.

According to COPEC, the Ministry lacks the authority to regulate transport fares in a deregulated market.

In a statement dated April 14, 2024, the ministry instructed the Ghana Police Service to apprehend any commercial driver who charges fares higher than the existing ones.

According to the ministry, negotiations with the transport operators are still underway to arrive at new transport fares following an increase in fuel prices and other related operational costs.

This comes after the Ghana Private Roads and Transport Union (GPRTU) and the Ghana Road Transport Coordinating Council (GRTCC) advised commuters not to pay new transport fares as proposed by the Transport Operators Union and the Concerned Drivers Association of Ghana.

However, COPEC’s Executive Secretary, Duncan Amoah, disputes the Ministry’s authority, arguing that it cannot compel transport unions to comply with its directive.

Mr Amoah contends that the Ministry has failed to address the underlying factors contributing to the alleged fare hikes, making its directive ineffective and inappropriate.

“The Transport Ministry has no basis in law to determine transport fares, especially in a deregulated market like we have, where the cost of fare is passed on and not regulated by government. The cost of insurance is simply added on year in, and year out.

“The cost of fuel goes up at will. As and when the dollar goes up, as and when international markets go up, as and when taxes go up, your fuel prices are rising.

“Why is the Transport Ministry in all of these discussions? And so we think that the Transport Ministry should not arrogate onto itself constitutional powers that it does not have at present to even call for the arrest of a driver or drivers simply because they are trying to recover costs of their operation.

“I am not suggesting the drivers should just go ahead and charge too much, but if there is a need for them to go up in transport fare, so be it.”

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