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03.07.2005 General News

Who Owns Metro Mass Transport Service ?

Ghanaian Voice

The issue of who owns the Metro Mass Transport Service seems to have been laid to rest, but some Members of Parliament are not satisfied with the way the Deputy Minister for Roads and Transport, Hon. Magnus Opare Asamoah answered a Parliamentary question that stood in the name of the MP for Ahanta West, Hon. Samuel Johnfiah.

The Ahanta West MP wanted to know from the Minister of Road and Transport if he could provide to the House an update on the Regional distribution of the Metro Mass Transport buses.

The Deputy Minister who stood in for the Minister said government holds 45 per cent share of the Metro Mass Transport (MMT), whiles SSNIT, SIC, NIB, ADB Goil Ltd and Prudential Bank owns 55 per cent.

Some Members of Parliament who followed up with sub-questions pointed out to the Deputy Minister that SSNIT, SIC, NIB, ADB, and Goil Ltd were all 100 per cent state owned; therefore, the government owns the entire MMT.

He, however, refused this proposition and said government only owns 45%.

The Deputy Minister explained that the MMT was incorporated in March 2003, with the Government of Ghana and four financial institutions namely SSNIT, Prudential Bank, SIC and NIB as the initial shareholders.

“Two other organizations namely the agricultural Development Bank (ADB) and Ghana Oil Company (GOIL) Ltd subsequently took shares in the company,” he stated.

He declared that all the share holders have paid their shared capital while the Government's contribution in the company is represented by the assets of OSA Transport Limited.

The Deputy Minister further disclosed that under the policy framework for the operation and financing of the MMT, the Government would acquire buses for on-lending to the operators of the MMT.

“So far, the Government has provided the MMT with the following types and number of buses: 75 DAF/Neoplan, 211 Fiat/Iveco and 150 Yaxing buses”, he said.

Hon. Opare Asamoah revealed that 100 DAF/Neoplan, 250 Yaxing, 150 Tata and 30 Fiat/Iveco buses are expected to be added to the MMT's fleet by the end of the year.

He mentioned that currently the MMT operates in seven (7) regional capitals and (1) district capital namely; Accra with 525 buses, Kumasi, 260; Sekondi / Takoradi, 69; Tamale, 58; Sunyani, 31; Cape Coast, 29; Koforidua 37 and Swedru, 12 buses.

The Deputy Minister stated that under the contract for the supply of the DAF/Neoplan buses, two expatriate staff with positions of Managing Director and that of Head of Engineering are currently assisting in the management of the company.

“The duration of the stay of the expatriate staff he said was two years, subject to extension with the supply of the new DAF/Neoplan buses.”