Fuel Price Hikes: Ad hoc interventions won’t solve transport fare concerns – Energy analyst

Energy analyst Kwadwo Poku warns that ad hoc interventions are insufficient to address transport fare concerns arising from rising fuel prices. Speaking on JoyNews' The Pulse, he emphasizes the need for government to engage transport unions and establish a sustainable formula for adjusting fares. According to Mr. Poku, the proposed 30% increase in transport fares should not be solely based on fuel price fluctuations, as operators also consider other expenses like insurance.

He proposes that government and transport operators should meet to reach a middle ground and agree on a fare adjustment mechanism that accommodates both increases and decreases in operating costs. Mr. Poku advocates for transport operators to reduce fares when fuel prices decline, ensuring that fare hikes are temporary and not permanent.

He also questions the sustainability of government's current measures to protect consumers from rising petroleum prices, warning that such a haphazard approach will not resolve the underlying issues. Mr. Poku points out that petroleum price pressures are likely to persist, especially considering ongoing international market developments.

With the conflict in the region expected to continue for months, he urges the government to develop a long-term framework to manage the impact of fuel price fluctuations on transport fares, moving beyond temporary solutions.