The National Petroleum Authority (NPA) says a planned increase in transport fares by the Ghana Private Road Transport Union (GPRTU) has been put on hold following engagements between government and transport operators.

The discussions come as transport operators face higher fuel costs following recent increases in petroleum prices.

The NPA has raised the price floor for petrol and diesel amid continued pressure from international petroleum markets. The increases have raised concerns about their potential impact on transport fares and inflation.

Speaking on Joy News’ PM Express Business Edition on Thursday, NPA Chief Executive Godwin Edudzi Tamakloe said he is “greatly worried” about the potential impact of higher transport fares.

He said he and the Transport Minister had been engaging transport operators over the issue.

“I’m greatly worried. Greatly worried in a sense that together with the Minister for Transport, we’ve been engaging the transport operators, and the whole idea is that government has been doing so well.”

Mr Tamakloe said transport operators have several major costs to consider, including vehicle maintenance, spare parts, fuel and wages.

“For transport business, there are three essential things that you always want to look at: the cost of maintaining the freight, the cost of spare parts. Not only that, the cost of running the business, that’s fuel cost.”

He said wages, insurance and other costs have largely remained stable, leaving fuel as the major recent pressure on operators.

“What has become impactful now has to do with the fuel price.”

According to him, government interventions have also helped reduce some of the cost pressures faced by transport operators.

“The cedi stability has absorbed potential cost for you from the forex end. That’s government’s intervention. Now government is also coming in to cushion periodically the impact of the increase in prices.”

Mr Tamakloe said these factors formed part of government’s discussions with transport operators.

“So we have jaw-jawed with the various transport owners that there is a time for us to also bear the share,” which he added has so far helped prevent an immediate fare increase.

“And that is why you notice that the attempt to increase the price or increase fares has basically been put on ice.”

Mr Tamakloe praised the leadership of the GPRTU and other transport groups for what he described as constructive engagement with government.

“I think that the GPRTU, and I salute their leadership, the PROTOA and all those other people, that so far we have had some constructive engagement with them, which has greatly been impactful.”

However, he acknowledged that some transport operators have increased fares despite the discussions.

“There are some a few there are a few recalcitrant ones that have decided to increase their prices arbitrarily.”