- The Ghanaian government's Airport Infrastructure Development Levy is set to increase domestic and international air travel prices from today.
- Domestic passengers will pay an additional GH¢100 for flights within Ghana, while regional and international travellers face surcharges ranging from $35 to $100.
- The revenue generated from the levy will be used to finance infrastructure projects at Kotoka International Airport and regional airports.
- The move has raised concerns about the competitiveness of Ghana's airport and its alignment with ECOWAS directives to reduce air transport taxes.
The Ghanaian government's Airport Infrastructure Development Levy has sparked debate over its impact on air travel prices in the country. The levy, which comes into effect today, aims to address infrastructure gaps in the aviation sector by generating revenue for key projects. However, industry players have raised concerns that the increased charges could make Ghana's airport one of the most expensive in the region and reduce its competitiveness.
Reasons Behind the Levy
The government has justified the levy, citing the need to finance infrastructure projects that will improve the efficiency and safety of air travel in Ghana. The revenue generated from the levy will be used to finance the construction of a concourse linking Terminals 2 and 3 at Kotoka International Airport, the development of a 2,000-capacity car park at Terminal 3, and rehabilitation works at regional airports.
Expert Opinions
Aviation expert Sean Mendis has backed the move, warning that Ghana must "either increase domestic airport charges or continue watching KIA collapse under the financial burden of subsidising the entire system." However, others have questioned how the policy aligns with an ECOWAS directive urging member states to cut air transport taxes by 25% to improve regional connectivity.
Concerns Over Affordability and Competitiveness
The increase in air travel prices comes at a time when some airlines are already adjusting fares upward due to rising aviation fuel prices linked to tensions in the Middle East. According to the Board of Airlines Representatives in Ghana, Ghana could move from 9th to 3rd place among African countries with the highest airport charges if the levy is fully implemented, ranking behind Gabon and Sierra Leone. Globally, average airport charges for return trips range from $30 to $34, while Africa's average is about $68, highlighting concerns about affordability and competitiveness.
