Rising fuel prices are putting increasing pressure on commercial drivers, businesses and consumers, with renewed concerns over a possible increase in transport fares.
The second pricing window of September has seen some Oil Marketing Companies (OMCs) increase the prices of petrol and diesel, adding to the financial burden on commercial drivers who continue to operate under existing transport fares.
At Star Oil, the price of petrol has increased from GH¢15.17 per litre in the first pricing window to GH¢16.77, while diesel has gone up from GH¢16.97 to GH¢17.77 per litre. Allied has also adjusted its prices, with petrol now selling at GH¢16.90 and diesel at GH¢17.90 per litre.
The increases have been attributed to higher international refined petroleum product prices and a slight depreciation of the cedi. For commercial drivers, the development means higher daily operating costs, particularly the cost of fuel needed to run their vehicles.
The latest fuel price adjustments have consequently renewed calls from some transport operators for either a reduction in fuel prices or an adjustment in transport fares.
Commuters divided over possible fare increase
Commuters and transport operators have expressed mixed views over the possibility of higher transport fares.
Mr Twum-Barimah, a driver, said an adjustment in fares could be justified given that transport fares have remained unchanged for an extended period.
“Fares have not been increased for about two years now, so if transport operators negotiate for an increase, it will benefit them, even though it will affect us,” he said.
He urged government to consider measures to reduce taxes on fuel to ease the pressure on both drivers and commuters.
Another commuter, Bright, however, warned that any increase in transport fares would have wider economic consequences.
“It will affect everyone because transportation is a means of livelihood, so when there’s an increment in transportation [fares], it is going to affect every sector,” he said.
Impact on businesses
The pressure is not limited to commercial drivers and passengers.
A sustained rise in fuel prices could increase operating costs for businesses that depend heavily on road transport, logistics and diesel-powered equipment.
These additional costs could eventually feed into the prices of goods and services as businesses seek to absorb or pass on higher transportation and distribution expenses.
For households, the impact could therefore extend beyond the cost of filling vehicles, particularly if higher transport fares translate into increased commuting and distribution costs.
GPRTU signals possible 25–30% fare increase
The Ghana Private Road Transport Union (GPRTU) has indicated that transport fares could increase by between 25 and 30 percent if the projected fuel price increases persist.
Such an adjustment would raise commuting costs for passengers while also increasing the cost of moving goods across the country.
However, GPRTU Deputy Public Relations Officer, Samuel Amoah, says the proposed 30 percent fare increase has not yet been verified.
He said a committee comprising representatives of the GPRTU, the Ghana Road Transport Coordinating Council (GRTCC) and the Ministry of Transport is expected to submit its report by Friday.
The report is expected to guide discussions on whether the proposed increase should be maintained, reduced or suspended.
The development comes amid reports of another possible increase in petrol and diesel prices, with prices potentially rising by more than 10 percent.
Stakeholders are therefore awaiting the committee’s findings and the subsequent decision by the Ministry of Transport, as drivers, businesses and consumers continue to grapple with the impact of rising fuel costs.
Story by Amoah Adjoa Beatrice (Adjoa Ankomah)