President Akufo-Addo has presented 45 brand new VDL buses to Metro Mass Transit limited, in fulfilment of government’s pledge to revamp the company.
Government in its 2022 Budget Statement and Economic Policy, indicated that it intends to prioritised the revamping of Metro Mass Transit Limited (MMTL) with the acquisition of new buses to boost the fleet of the company.
The move was captured in the budget estimates of the Ministry of Transport, the sector Ministry under which MMTL operates as an Agency.
At a plenary sitting on Wednesday, 15 December 2021, an estimated budgetary allocation of GHc 921,843,000.00, was approved for the Ministry of Transport and its sub-vented Agencies to execute their programs and projects for the 2022 fiscal year.
Out of the amount approved, GHC694,351,000 was to be used by the Transport Ministry to finance assets where it is projected that hundreds of new buses will be procured to revamp MMTL and other private sector operators.
Efficient system
Addressing participants of a ceremony to commission forty-five (45) out of a total of 100 buses that have been acquired for MMTL, today 6 July 2022, at the forecourt of the State House, President Akufo-Addo said his administration is committed to ensuring that MMTL gets back to the path of profitability.
“The presence of an efficient transportation system is a vital contributor to the economy and as President of the Republic, l have made it a priority to relaunch the Metro Mass transport system in the regional capitals through sustained investments in infrastructure and services” President Akufo-Addo said.
“The commissioning of these buses will improve the operations of MMTL and also offer passengers improved serves” the President added.
Concessionary financing
As part of plans to ensure that MMTL, going forward, remains viable, the President noted that the Belgian government, credited with the initial investment in setting up the MMTL, some17 years ago, during the John Kufour Presidency, has agreed to a 5-year support plan that will guarantee annual supply of buses to MMTL over the period.
“I am informed that the Belgian government has extended yet another concessionary financing for the acquisition of 40 buses every year for the next 5 years to urgment further the fleet of the country” Akufo-Addo said.
“This is truly timely and I urge all players to work acidiouslly as we seek to revamp fully, the operations of Metro Mass Transit Limited” he added.
Culture of maintenance
Transport Minister, Kwaku Ofori Asiamah, in his remarks, charged the management and staff of the Metro Mass Transit Limited, to ensure that they put in place an effective maintenance services plan to ensure that it keeps its fleet constantly in business.
“The culture of maintenance should not be lost on us as these buses are commissioned into service. I wish to appeal to the board, management and staff of Metro Mass Transit Limited, particularly, the technicians and drivers to handle these buses with uttermost care” the Transport Minister, Kwaku Ofori Asiamah said.
“These are huge investments that the government is making, and the only way you can demonstrate that the investment is worthwhile, is to ensure that these buses go beyond their lifespan for the peoples of this country to have the full benefit of cost that we are putting in to acquire these buses” he added.
MMTL / shareholding structure
Metro Mass Transit Ltd was incorporated in March 2003 as a limited liability company under the Ghana Companies code (1963) Act 179.
Providing transport for all citizens and making Ghana a transport hub for the sub-region are the two main policy goals of both the National Transport plan (2008) and Transport Sector Medium-Term Development plan (2014 and 2018).
These national plans recognize the role of mass transport in the socio-economic development of any fast developing nation and therefore the establishment of Metro Mass Transit Limited to lead the path towards the re-introuduction of public mass transport system in Ghana.
MMTL exist to provide reliable, safe, efficient and affordable mass transport service by road in the West Africa sub region and to become the most preferred Transport Company in the region.
The Government of Ghana, is the biggest shareholder, of the company, holding 45% of the shares of the company.
The other share holding structure is as follows; Agricultural Development Bank, 16.67%, Social Security & National Insurance Trust (SSNIT) 11.67%, National Investment Bank 9.33%, Ghana Oil Company 7.5%, State Insurance Company 5.83%, Prudential Bank 1.67% and In Treasury 2.5%
Wilberforce Asare