During rush hour in Tema, it’s common to see long rows of vehicles slowly driving through toll booths to access the motorway towards Accra.
The long queues, with the unwelcome addition of exhaust fumes from large trucks and badly maintained vehicles, can be a frustrating and unhealthy experience for drivers.
The payment process at toll booths is manual, which undoubtedly leads to longer wait times for commuters heading home after a hard day’s work.
In 2022, the Minister of Finance, Ken Ofori-Atta, proposed a radical solution to lessen this burden: The removal of road tolls across the country.
In his proposal to parliament, the collection of tolls across the country would cease and be replaced with an Electronic Levy (E-Levy), a tax on the transfer of mobile money from one user to another.
Proceeds from the levy would replace the revenue lost from disbanding tolls.
The cessation of tolls on 18th November 2021 resulted in the free flow of traffic, especially on the Tema motorway, a major reprieve for drivers who no longer experienced gridlocks at toll booths.
However, in 2024, it was announced that tolls would be re-introduced. The E-Levy, which promised to generate sufficient funds, fell short of expectations, forcing the government to renege on its earlier decision.
With a new government in place, the return of road tolls is inevitable, but with the guarantee of a modern, digitized version.
The reintroduction is commendable.
But if the new administration brings back tolls, not only should technology be integrated to make collections more efficient, but the pricing of tolls should be reviewed upward to help compensate for deteriorating roads.
The State of Ghana’s Road Tolls
Road tolls have existed in Ghana since 1990 and were augmented by the Road Fund Act. The act sought to generate revenue for road maintenance and development across the country.
The cost of tolls was as low as 5 pesewas in the early 2000s, but prices haven’t risen to keep up with inflation. Ghana’s inflation rate averaged about 18% in the mid-2000s and marginally reduced but stayed above 14% in the mid-2010s.
The last price adjustment for road tolls was in 2010 with tolls for a saloon car adjusted upwards from 0.05 pesewas to 0.50 GHC.
It’s estimated that 38 road toll collection booths have been erected nationwide, with recent data showing that revenue collection from tolls was about GHC 72.5 million.
But the grim reality is that Ghana’s fund for road rehabilitation is currently GHC 15 billion in debt. This revelation was made by the Minister for Roads and Highways, Kwame Agbodza, at his vetting in Parliament in January this year.
The underwhelming performance of the e-Levy to compensate for the revenue losses played a huge factor.
The Minister stated that the road tolls would be coming back, but would be digitized.
But what would a tech-enabled toll system look like?
What a Tech-Enabled Toll System Might Look Like
One of the best ways to incorporate technology for road tolls is to deploy Radio Frequency Identification (RFID) tags.
With RFID tags attached to a vehicle, a driver’s toll can automatically be deducted when they approach a toll booth fitted with an RFID reader. These tags can be linked to mobile money wallets or bank accounts, making collections more seamless.
Mobile apps can also be developed to provide real-time updates on toll charges and payment histories, enhancing user experience and accountability.
Implementation of this technology on Ghana’s roads should not be too difficult.
At the 9th Ghana CEO Summit event in Accra, President Mahama hinted that the new toll system would work with cameras.
When a road user passes through a toll, their license plates would be visually processed.
All registered vehicles are linked to a citizen’s Ghana Card, which would be linked to their mobile money or bank account, from which the toll would be debited.
Why a Price Hike for Road Tolls Is Justified and Long Overdue
Before the announcement of the reintroduction of road tolls, parliament had proposed increments in tolls for road users in 2024.
Saloon cars would see a 100% increment, while pick-ups and buses would have their prices reviewed upwards by 50%.
However, the proposal hasn’t been formally adopted by parliament.
| Road and Bridge Tolls | Approved Fees and Charges (GHC) | Proposed Fees and Charges (GHC) | Average Percentage Increase |
| Motorbike | 0.10 | 0.50 | 400% |
| Car | 0.50 | 1.00 | 100% |
| Pick-ups/4×4 Vehicles | 1.00 | 1.50 | 50% |
| Light Buses | 1.00 | 1.50 | 50% |
Price of Road Tolls in Ghana
The price of tolls for the average Ghanaian commuter is less than $0.05, which is abysmally low when compared to other developing countries like India ($0.72 – $1.20), Nigeria ($0.25 – $0.65), and Indonesia ($0.65 – $1.00)
Due to the Roads Fund’s accumulating debt, more revenue will be needed to help with road rehabilitation.
To compensate for this, the average cost should be increased to $0.20 – $0.30. (~GHC 1.50 – GHC 2.0)
Critics argue that the reintroduction of Tolls is a Non-Starter
Some skeptics say that road tolls do not need to make a comeback. Institutions like CUTS Accra have argued that the revenue from road tolls would not be enough to fix most of the roads in Ghana.
There are also issues surrounding the cost of deploying e-tolls nationwide.
Depending on the scope, e-toll projects could run into millions of dollars. An example is the All-Electronic Tolling (AET) in the Massachusetts Turnpike, USA, which costs an estimated $130 million to deploy.
But an initial investment in an e-toll pilot could be worth it over time. It was reported that in 2014, 30,000 cars used the Tema motorway daily.
With the growth of cities over the years and the increase in vehicle activities, the deployment of an effective e-toll system could help the government recoup its initial investment in a short period.
Another avenue for revenue enhancement could be the decapping of the Ghana Road Fund, as the Minister of Roads and Highways stated during his vetting process.
“I’ve been a consistent advocate for the decapping of statutory funds, especially the Road Fund,” he said at his vetting.
“When you analyze the money collected into the Road Fund versus the amount released, it’s clear that the Finance Ministry takes a substantial portion, only to return it as GoG [Government of Ghana] funds.
This approach limits the fund’s effectiveness…. so I’ll continue to advocate for decapping of road fund,” he added.
Technology Integration and Price Hikes are the Way Forward
Road tolls are making a comeback by the end of 2025. But how they’re implemented will be critical. Using technology to enhance the experience will go a long way in helping to reduce revenue leakages and ensure smoother traffic when collecting tolls.
But there also needs to be a consideration of increasing the price of tolls. With Ghana’s Road Fund debt under massive stress, road users need to pay their fair share to help with the maintenance of Ghana’s deteriorating roads
Ghana has many global examples to emulate when reintroducing its road tolls. It’s high time the country caught up with the rest of the world when it comes to modern road tolls and best practices.
