Minister for Roads and Highways, Kwasi Amoako-Attah, has directed a halt in road and bridge toll collection across the country effective Thursday, 18 November 2021.
The directive follows a decision by the government to abolish road tolls as stated in the 2022 Budget presented to parliament on Wednesday by the Finance Minister.
Mr Ken Ofori-Atta told parliament that the proposal would take effect after the budget had been approved.
However, a statement signed by the sector minister, Kwasi Amoako-Attah, says the directive would take effect from 1200 am on Thursday.
The Motor Traffic and Transport Department (MTTD) of the Ghana Police Service would be on hand to provide security at the toll locations from the effective date, it said.
The ministry, therefore, advised motorists to approach the locations with caution and observe all safety measures that will be put in place.
“The motoring public will be advised of further measures in due course,” it added.
Presenting the 2022 budget in parliament, Mr Ofori-Atta said the new directive was meant to reduce the heavy traffic caused by road tolls and to enhance productivity and reduce environmental pollution.
“…over the years, the tolling points have become unhealthy market centres, led to heavy traffic on our roads, lengthened travel time from one place to another, and impacted negatively on productivity. The congestion generated at the tolling points, besides creating these inconveniences, also leads to pollution in and around those vicinities,” the Finance explained.
“To address these challenges, the government has abolished all tolls on public roads and bridges.
“This takes effect immediately the Budget is approved. The toll collection personnel will be reassigned. The expected impact on productivity and reduced environmental pollution will more than off-set the revenue forgone by removing the tolls.”
The minister said to compensate for the toad tolls, the government is looking to introduce innovative ways of raising revenue such as a proposed 1.75% phone transactions levy payable by mobile money users per transaction above GHS 100.
He said this will help the government to shore up revenue inflows to fund road projects in the country.
Elaborating on the new introductions, Mr Ofori-Atta noted, “Total value of mobile money transactions for 2020 was estimated to be over GHS 500 billion Cedis compared to GH¢78 billion Cedis in 2016 just 5 years ago, while total mobile money subscribers and active mobile money users have grown by an average rate of 18% and 16% respectively between 2016 and 2019. Mr Speaker, it is becoming clear there exists the enormous potential to increase tax revenues by bringing into the tax bracket, transactions that could be best defined as being undertaken in the “shadow economy”.