COPEC to engage driver unions over possible transport fare reductions

The Executive Secretary of the Chamber of Petroleum Consumers (COPEC), Duncan Amoah, has once again urged transport operators to review and possibly reduce fares in response to recent declines in fuel prices, despite concerns raised by drivers about the rising cost of other operational inputs such as spare parts and lubricants.

Appearing on Channel One Newsroom on Tuesday, January 6, Mr. Amoah addressed arguments that lower pump prices do not automatically translate into reduced operating costs. While he acknowledged the broader financial challenges facing transport operators, he emphasized that fuel remains a critical factor in fare determination and cannot be ignored.

He explained that fuel accounts for a substantial portion of transport cost structures, and therefore notable reductions in pump prices should be reflected in fares. To support his argument, Mr. Amoah cited a year-on-year comparison, noting that fuel prices were close to GH¢15 per litre in January 2025, compared to current average prices of about GH¢11.50 per litre.

According to him, this represents a significant decrease that should be considered in fare-setting discussions. Although other cost components may not have declined at the same rate, he maintained that fuel remains one of the most influential variables in transport pricing and provides room to ease the burden on commuters.

Mr. Amoah also disclosed that COPEC plans to directly engage transport unions to discuss the matter. He said talks with executives of driver unions are expected to begin early next week, with the objective of encouraging fare adjustments that align with prevailing fuel price trends.

He noted that while transport operators often argue that fuel price reductions alone are not sufficient justification for fare cuts, COPEC’s stance is based on the central role fuel plays in transport fare calculations, particularly in light of the substantial year-on-year price drop

The comments follow COPEC’s earlier call on commercial transport operators, including ride-hailing services such as Bolt, Uber, and Yango, to reassess their fares after several oil marketing companies loered ex-pump fuel prices.

COPEC has attributed the recent reductions in fuel prices to falling international refined petroleum prices, relative exchange rate stability, and heightened competition within Ghana’s deregulated downstream petroleum sector. Its year-on-year review shows that petrol and diesel prices have declined by between GH¢3 and GH¢4 per litre compared to January 2025, translating into notable savings for consumers.

The chamber insists that consumers should enjoy the benefits when market conditions improve, just as they absorb the impact during periods of price increases. It has commended oil marketing companies that have already reduced prices and called on those yet to do so to act promptly.

Transport fares were last reduced by 15 percent in May last year following negotiations between transport operators and the Ministry of Transport, amid favourable macroeconomic conditions such as lower fuel prices and a stronger cedi. COPEC believes similar conditions now exist and justify another review of transport fares to ease pressure on commuters.

COPEC to engage driver unions over possible transport fare reductions

The Executive Secretary of the Chamber of Petroleum Consumers (COPEC), Duncan Amoah, has once again urged transport operators to review and possibly reduce fares in response to recent declines in fuel prices, despite concerns raised by drivers about the rising cost of other operational inputs such as spare parts and lubricants.

Appearing on Channel One Newsroom on Tuesday, January 6, Mr. Amoah addressed arguments that lower pump prices do not automatically translate into reduced operating costs. While he acknowledged the broader financial challenges facing transport operators, he emphasized that fuel remains a critical factor in fare determination and cannot be ignored.

He explained that fuel accounts for a substantial portion of transport cost structures, and therefore notable reductions in pump prices should be reflected in fares. To support his argument, Mr. Amoah cited a year-on-year comparison, noting that fuel prices were close to GH¢15 per litre in January 2025, compared to current average prices of about GH¢11.50 per litre.

According to him, this represents a significant decrease that should be considered in fare-setting discussions. Although other cost components may not have declined at the same rate, he maintained that fuel remains one of the most influential variables in transport pricing and provides room to ease the burden on commuters.

Mr. Amoah also disclosed that COPEC plans to directly engage transport unions to discuss the matter. He said talks with executives of driver unions are expected to begin early next week, with the objective of encouraging fare adjustments that align with prevailing fuel price trends.

He noted that while transport operators often argue that fuel price reductions alone are not sufficient justification for fare cuts, COPEC’s stance is based on the central role fuel plays in transport fare calculations, particularly in light of the substantial year-on-year price drop.

The comments follow COPEC’s earlier call on commercial transport operators, including ride-hailing services such as Bolt, Uber, and Yango, to reassess their fares after several oil marketing companies lowered ex-pump fuel prices.

COPEC has attributed the recent reductions in fuel prices to falling international refined petroleum prices, relative exchange rate stability, and heightened competition within Ghana’s deregulated downstream petroleum sector. Its year-on-year review shows that petrol and diesel prices have declined by between GH¢3 and GH¢4 per litre compared to January 2025, translating into notable savings for consumers.

The chamber insists that consumers should enjoy the benefits when market conditions improve, just as they absorb the impact during periods of price increases. It has commended oil marketing companies that have already reduced prices and called on those yet to do so to act promptly.

Transport fares were last reduced by 15 percent in May last year following negotiations between transport operators and the Ministry of Transport, amid favourable macroeconomic conditions such as lower fuel prices and a stronger cedi. COPEC believes similar conditions now exist and justify another review of transport fares to ease pressure on commuters.