CRAG is urging government to establish a GH¢10 million EV Transition Fund in Ghana
The Car Rental Association of Ghana (CRAG) is urging the government to establish a GH¢10 million Electric Vehicle (EV) Transition Fund to support the gradual modernisation of Ghana’s car rental industry.
At a stakeholder engagement held on Tuesday, July 15, 2025, executives of CRAG met with the Minister for Tourism, Culture and Creative Arts, Dzifa Abla Gomashie, at her office to present proposals aimed at transforming the sector into a key driver of sustainable tourism and economic development.
Led by its President, Michael Sarpong of St. Michael Car Rentals, the Association highlighted major challenges including outdated fleets, poor driver training, unregulated operators, and a lack of digital infrastructure. These challenges, they said, continue to hinder the industry’s growth and limit Ghana’s tourism potential.
During the meeting, CRAG proposed the establishment of a Tourism Driving School to train drivers not only in road safety but also in customer service and basic tourism education.
“We want our drivers to be ambassadors who can promote Ghana’s culture and tourist sites to visitors as they drive them,” one executive said.
CRAG also called for the launch of a national car rental digital booking platform, to be managed by the Ghana Tourism Authority.
The proposed platform, they said, would enhance transparency, ensure the use of verified ID, deduct taxes at source, and improve the rental experience for both tourists and locals.
In line with global trends and Ghana’s climate goals, the Association emphasised the need for a GH¢10 million government-supported EV Transition Fund, which they believe would reduce fuel dependency, cut emissions, and create jobs.
“If 200 companies upgrade their fleets, that’s 200 households supported. Each EV means one more driver, one more job,” the Association’s treasurer noted.
In her response, Minister Dzifa Abla Gomashie applauded the Association’s efforts but stressed that Ghana’s tourism transport sector must first address issues of road discipline and driver professionalism.
“Training and education are really crucial, not just for business owners, but for all of us who share the road,” she said.
The Minister cited challenges such as improper lane usage, congestion, and unsafe driving practices, particularly on routes like the Adenta Road, as major issues that negatively affect the tourist experience.
She emphasised that driver training must go beyond vehicle operation to include safety, courtesy, and respect for other road users.
Minister Gomashie also acknowledged the economic constraints facing the government, stating that while immediate financial support may not be possible, CRAG’s proposals have her full attention.
“We are not in a good place economically. But soon, we will exhale. With the work the Ministry of Finance is doing, we should be able to get out of the woods and when we do, this need will be addressed,” she assured. “I will keep this on the front burner. I will not forget.”
The Association also raised concerns about the lack of suitable transport options for cruise tourists visiting the Western Region. They noted that many passengers are priced out of luxury transport and are left with informal taxi services, often charged in US dollars.
“If we had compact EVs, we could serve this market better, offer fair pricing, and protect tourists from exploitation,” the CRAG treasurer added.
The Car Rental Association of Ghana, under the leadership of Michael Sarpong, remains confident that with the right policies, digital tools, and strategic investment, the sector can become a pillar of Ghana’s tourism growth and a model for sustainable transport.
“Everyone loves Ghana. Let’s build a transport sector that matches that love, with quality, safety, and innovation,” the Association concluded.
