Transport unions, motorists reject Vehicle Emission Tax

The Commercial Transport Unions together with motor operators popularly known as “Okada” has decided to reject the payment of the vehicle Emission Tax which takes effect from the 1st of February 2024.

The rejection of the tax comes into force after Labour Unions also issued a 1-week ultimatum to government to strike out the 15% VAT on electricity for residential consumers.

The Industrial Relations Officer of Ghana Private Road Transport Union (GPRTU) Alhaji Abbas Imoro in an interview on joyfm, a private radio station in Accra stated that if government refuses to listen to the advise and plea of Ghanaians to strike out the Vehicle Emission Tax, they have no other option than to increase transport fares.

According to him, commercial transport owners are in business to make profit and not loss, adding that, if government is implementing the tax without any appropriate dialogue or discussion, then, they will also pass that cost on to commuters.

“The Unions petitioned Parliament and other government institutions in order to reject the Vehicle Emission Tax not to over-burden Ghanaians but it seems all failed, so we too have to come up with an increment to stabilize our business”, he added.

Alhaji Abass noted that, the Unions will determine the percentage increment after adding up other components like spare parts, fuel, lubricants among others.

“But if the option to increase transport fares proved futile, we have other options like a sit-down strike which will seriously affect the economy as it happened some year back”, he stressed.

The commercial transport Unions announced a 20% hike in transport fares weeks ago based on the introduction of the Vehicle Emission Tax but due to intervention of government, the union halted the increment for a dialogue and to reach a decision appropriately for the benefit of all stakeholders.

But the government has taken steps to implement and enforce the payment of the tax,therefore, both the transport Unions, motor ‘Okada’ operators and other stakeholders in the industry are on the verge to increase transport fares if government fails to handle the issue and take appropriate steps.

Source: Eric Nii Sackey