Parliament Okays Towing Levy

Accident Truck in the middle of a highway

The Roads and Transport Committee of Parliament has given the green light for the implementation of the controversial mandatory towing levy.

The levy, which was suspended after huge public outcry, is to be imposed on all vehicle owners nationwide, and it is now likely to take effect in September, 2017.

It was expected to take off on July 1, 2017, but later suspended to enable the Transport Ministry to have stakeholders’ engagements after the motoring public kicked against its implementation.

It would be recalled that the National Road Safety Commission (NRSC) earlier this year reintroduced the service in order to rid the country’s roads of broken-down and abandoned vehicles which are said to be causing accidents with damning fatalities.

“The committee, furnished with necessary information from various stakeholders and having addressed their concerns as provided in its recommendation, recommends the early implementation of Section 102 of the Road Traffic Regulations 2012 (LI 2180),”  a portion of the committee’s report reads.

As part of the law, which has generated huge controversy, vehicle owners and motorcyclists, will pay compulsory annual fees, tied to the acquisition of road worthiness certificate, to cater for towing services.
Fees per year for both commercial and non-commercial vehicles – depending on tonnage – range from GH¢20 to GH¢200.

The NRSC awarded the contract to Road Safety Management Limited (RSML), a subsidiary of the Jospong Group, owned by businessman Joseph Siaw Agyapong.
But the Parliamentary Select Committee on Roads and Transport, chaired by Samuel Ayeh Paye, after consultation with key stakeholders, including the Minister for Transport and his deputy and the officials of the Ministry, NRSC and RSML, among others, on June 19, and July 12, this year, respectively, granted permission to government to go ahead and implement the policy, which seeks to protect lives on roads across the country.

The committee, however, made a few recommendations to the stakeholders with respect to the implementation of the law to ensure fair treatment of the general public.

Among the recommendations were that “the Road Safety fees should not be reviewed for at least the next two years; the parties should consider allocating 2.5 percent out of the stipulated 85 percent allocated to the service provider (RSML) to the National Ambulance Service.”

The committee also recommended that “the service provider must submit a list of third party service providers to the National Road Safety Commission and the Transport Ministry.”
As part of the recommendations, DAILY GUIDE learnt the Road Safety Management Company Limited and its allied service providers are to enjoy 85 percent of the charges while the DVLA and the Police Service share 5 percent each.

Ministry of Finance, as well as NRSC, will also be allocated 2.5 percent each from the proceeds.
The operator has therefore agreed to pay 2.5% of the accrued amount to the National Ambulance Service while another 2.5 percent will be paid to the National Health Insurance Authority (NHIS) to be used for the treatment of accident victims.
The recommendations of the committee, DAILY GUIDE understands, have been sent to the Transport Minister, and implementation is likely to take effect by ending of September 2017.
Meanwhile, the committee has charged the NRSC to embark on wide public sensitisation and awareness programmes ahead of the scheduled implementation date.

 

By Melvin Tarlue

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