Parliament approves 20-year electronic road toll agreement

    Ghana's Parliament has sanctioned a 20-year Public-Private Partnership to reintroduce road and bridge tolls, aiming to boost infrastructure funding through a digital collection system.

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    Ghana's Parliament has approved a 20-year agreement to reintroduce road and bridge tolls, establishing a fully electronic collection system. This decision, made on July 31, 2026, greenlights a Public-Private Partnership (PPP) concession between the Ministry of Roads and Highways and a Special Purpose Vehicle (SPV) to be created by Rock Africa Limited.

    The agreement aims to deploy a nationwide digital tolling infrastructure. This system will mobilize revenue for critical road development projects across Ghana. It also seeks to eliminate the long queues and traffic congestion that characterized the former manual toll collection system, which was suspended in November 2021.

    This parliamentary approval follows a thorough consideration of a report by Parliament's Roads and Transportation Committee. The reintroduction of tolls marks a significant shift in government policy, as the previous administration had abolished them to ease financial burdens on motorists. The move aligns with broader efforts to secure sustainable funding for Ghana's extensive road network, which requires substantial investment for maintenance and expansion.

    Dominic Nitiwul, the Member of Parliament for Bimbilla and former Minister for Defence, defended the initial decision to abolish tolls. He explained that the government sought to prevent burdening Ghanaians with both the Electronic Transfer Levy (E-Levy) and road tolls simultaneously. Mr. Nitiwul, however, expressed strong support for the new electronic tolling arrangement, citing its potential to resolve operational difficulties.

    He highlighted that digital technology, similar to systems observed in South Africa, would make the payment process more convenient. Motorists will no longer need to stop at toll booths, reducing delays on major highways. The system will allow vehicles to pass seamlessly, with a 'beep' indicating a transaction, and a bill sent at the end of the month.

    This concession agreement establishes a legal framework for private sector involvement in financing, designing, operating, and maintaining the electronic tolling network. The government argues that this digital platform will significantly improve efficiency and reduce revenue leakages. It is expected to provide a more reliable and consistent source of funding for Ghana's vital road infrastructure, while simultaneously offering motorists a smoother travel experience.

    The reintroduction of tolls, particularly through an electronic system, is expected to have several implications for Ghana's economy. It could provide a dedicated revenue stream for road infrastructure, potentially reducing reliance on general tax revenues. This could free up funds for other critical sectors, contributing to overall economic stability and growth. Investors and financial markets will closely watch the implementation and effectiveness of this new system, as its success could influence future infrastructure financing models in the country.

    The shift to electronic tolls also reflects a broader trend towards digitalization in public services. This modernization effort aims to enhance transparency and accountability in revenue collection. The long-term success of this 20-year concession will depend on its ability to consistently generate revenue, maintain operational efficiency, and gain public acceptance for the new payment method.

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