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Tuesday, May 17, 2022

‘Don’t Blame Govt For Fuel Price Hikes’

ALLIANCE OF Drivers Ghana, an association of various transport businesses operating in the country, says Government cannot be blamed for the upsurge in fuel prices lately since it does not dictate oil prices on the international market.

The drivers, who addressed a press conference yesterday at Kasoa in the Central Region, were led by Alhaji Yahya Isiaka, National Chairman of the Alliance of Drivers Ghana.

It said “We are deeply saddened by the recent hikes and uncontrollable increase in fuel prices. Frankly speaking, the current happenings are unbearable, there have been numerous threats of strike action from strong institutions such as COPEC and other driver unions in the coming days. We honestly don’t wish for this that is why we are calling on all Ghanaians and sundry to handle this matter constructively devoid of politics.”

Fuel Levy

The association added that some key stakeholders in the industry has suggested the suspension of fuel levy.

“Well, it’s a good call but we think the pivot of this crisis is how unfair international fuel pricing has been to us. The strength of the Ghana cedi against the dollar is also a factor in price determination.”

Deregulation

It continued that the deregulation policy implemented in 2015 has given oil marketing companies (OMCs) a ransom in the price build up.

“Fuel price has increased more than ten times this year and clearly the blame cannot come to the government but from international crude oil prices which finally will transcend to the OMCs.

“Obviously, fuel prices hardly fall despite the government in power. There has been only 30% i.e. 146 pesewas to 190 pesewas increase in government levies and tax on petrol prices from 2017 till date.

It said the notion that reviewing general levies and tax element on fuel pricing would help in fuel price stabilisation was only going to worsen the case as government would fall short of revenue in developing roads.

Scrap Tollbooth

“Another major key point we want to communicate to you today is the appeal we are taking to the president to scrap tollbooth and replace it with a toll levy on petrol price,” it noted indicating that the tollbooth causes traffic for commercial vehicles.

Appeal To Gov’t

It therefore called on President Akufo-Addo to direct the Minister of Finance, Ken Ofori-Atta, to include this in the 2022 Budget Statement and economic policy.

BY Vincent Kubi

 

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