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State Has Failed to Establish Transport Regulator — CEMSE Director

Maurice Otoo

The Executive Director of the Centre for Environmental Management and Sustainable Energy (CEMSE), Ben Nsiah, has criticized the government for failing to establish a functional transport regulatory framework, warning that the absence of such a system continues to create instability in the sector.

 

Speaking on Kessben Maakye with Kojo Preko Dankwa, he said the lack of a clear and enforced regulatory structure has made it difficult to manage transport fare adjustments, especially in times of rising fuel prices.

“If there was a proper framework in place, there would be no need to revisit these issues every time fuel prices change,” he stated.

 

Mr. Nsiah explained that the government has an existing understanding with transport operators to review fares whenever fuel prices increase beyond 10 percent.

 

However, he noted that fuel costs alone should not determine fare adjustments.

“There are other critical factors such as inflation, exchange rates, and borrowing costs that must be considered,” he added.

 

He further urged political leaders to demonstrate sincerity in managing the current economic pressures, particularly in relation to fuel pricing. He questioned the continued collection of the GH¢1 Energy Sector Debt Recovery Levy at a time when consumers are already grappling with rising fuel costs.

“Any sincere leadership would reconsider collecting the GH¢1 energy sector debt recovery charge under current conditions,” he said.

 

Mr. Nsiah also pointed to the financial burden placed on citizens due to unpaid energy bills by some government agencies. He stressed that unless such institutions are compelled to settle their energy consumption costs, the public will continue to bear the burden of legacy debts.

“If we do not allow government agencies to pay for their own energy consumption, we will continuously pay for legacy debts,” he warned.

 

He cautioned that a further increase in fuel prices to around GH¢17 per litre could trigger transport fare hikes, which would have a ripple effect across all sectors of the economy.

“Transport owners will have no choice but to push for increments, and that will affect the cost of goods and services across the board,” Mr. Nsiah concluded.

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