The Ghana Private Road Transport Union (GPRTU) is bracing for fare hikes as the Emissions Levy Act, 2023 (Act 1112) comes into force on February 1, 2024.
The levy imposes charges on carbon dioxide equivalent emissions from internal combustion engine vehicles.
The GPRTU plans to transfer the financial burden to passengers, citing the additional costs incurred by professional drivers.
Abbas Imoro, the PRO of the GPRTU stated, "Because we're already paying on the fuel we've been buying, there's no way professional drivers will work for free. If you splash it on us, we will also splash it on our passengers as well."
He emphasised that the 20% fare increment discussed earlier would likely be implemented to share the burden between drivers and passengers.
Imoro disclosed that the Transport Ministry has instructed them to document their grievances and reasons for a 20% fare increase, adding that they expect to conclude discussions by the weekend and possibly announce the decision next week.
Desmond Appiah, Country Manager of Clean Air Fund Ghana, acknowledged the government's use of taxation to address pollution.
He highlighted the introduction of duty waivers for electric commercial vehicles in the same budget, emphasizing the importance of making those contributing to pollution pay more.
Appiah remarked, "Taxation as a tool to improve pollution. I think the consideration for progressiveness is a good angle to it. If the goal is to reduce pollution, then that should be a progressive way of looking at it."
As the Emissions Levy takes effect, commuters may soon experience adjustments in transportation fares, reflecting the new financial implications for the transport sector.
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