June 13, 2024
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Transport fares will be reduced if fuel gets to ¢10 per litre – Abass Imoro

Public Relations Officer of the Ghana Private Road and Transport Union (GPRTU), Abass Imoro, says transportation fares will not be reduced anytime soon despite the slight reduction in fuel prices.

He noted that the current reduction in fuel prices does not warrant any reduction in fares as it will not reflect the gap in the fuel margins.

The PRO explained that despite the slight reduction in fuel prices, there has been an increase in the prices of spare parts and lubricants, hence any current reduction in fares is impossible.

According to him, transport fares could only be reduced provided there is a further reduction in fuel prices to at least ¢10 per litre.

“The margin is very bad but cannot be reduced till we recover all. We just cannot do that so let them reduce further at least if we get to around ¢10 per litre which of course is quite reasonable for us to take something out. We have not finally decided but this is my suggestion.

“Looking at the gap and the way our business has also declined that was why we said this very one we cannot reduce,” he said in an interview on 3FM on Monday.

Mr Abass Imoro further said contrary to the general notion that transport fares are increased immediately after fuel prices go up, transport operators mostly do not increase fares as soon as fuel prices are increased.

He indicated that the call for a reduction in transport fares will only compel transport operators to adhere strictly to the outlined measures for an increment in transportation fares.

“We normally do not regularly increase lorry fares whenever fuel prices go up and that is the mistake we did.

“We thought we were doing the general public good by most of the time this 10% threshold we do not go by it thinking we are helping the general public.

“Here we are the general public has turned against us that fuel has been reduced so we should also reduce lorry fares…if the public takes this view they are rather teaching us to go strictly and play by the rules,” he added.

Some Oil Marketing Companies (OMCs) in the country began reducing prices of fuel at the pumps on November 30.

One of the market leaders, GOIL dropped its price for Diesel to ¢19.77, while Petrol is selling at ¢16.26.

This is the second time in the month of November 2022 that prices of petroleum products have been reduced.

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