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More MMT buses expected in the country

Wed, 30 Jan 2008 Source: GNA

Accra, Jan. 30, GNA - Government is assisting the Metro Mass Transit (MMT) company to acquire more buses in order to extend transport services to all district capitals and major towns. Some 150 buses are expected in the country this year under a Dutch government concessionary financing with an additional 150 more through a Belgium government soft loan.

Mr Godfrey Tangu Bayon, Minster of State at the Ministry of Transportation said this in Parliament on Wednesday in response to a question.

Government, recognising the escalating prices of crude oil on road passenger transport took a social and economic decision to re-introduce mass transportation using high capacity buses in 2001 by the MMT. Mr David Oppon-Kusi (NPP-Ayirebi/Ofoase) had asked the Minister to outline steps being taken to ensure that the impact of increases in world crude oil prices was lessened to benefit the rural traveller. Mr Bayon said key objectives for the re-introduction of the mass transit services, was to provide affordable, safe and reliable services for all, especially the urban and rural poor.

He said fuel constituted about 15 to 25 per cent of vehicle operating cost depending on the age and type of vehicle as well as the maintenance culture of the vehicle operator.

"Therefore any increases in world crude oil prices which affect the ex-pump price of fuel will accordingly have an effect on transport fares," Mr Bayon said.

He said to avoid indiscriminate fare adjustments by private operators, a joint committee had been established to undertake fares reviews in line with fuel price adjustments. "After fares have been agreed upon by the joint committee, representatives will be empowered to advise their members to adhere to these fares," he said, adding that all these were geared towards lessening the impact of crude oil prices for the benefit of rural travellers.

Source: GNA