James Agalga Details Projects Behind GHS100 Airport Infrastructure Levy

Accra: The new Airport Infrastructure Development Levy has sparked debate, with Gushegu MP Hassan Tampuli criticising the move as excessive, while Board Chairman of the Ghana Airports Company Limited (GACL), James Agalga, has defended it as necessary for development. Speaking on Accra-based Joy FM, Tampuli questioned both the timing and magnitude of the increment, noting that air travellers in Ghana already pay high ticket prices, making additional charges burdensome.

According to Ghana Web, Tampuli expressed concerns over the drastic increase from GHS5 to GHS100, an over 1,800% rise, emphasizing that it burdens passengers without replacing existing fees. He argued for a more gradual approach to reviewing such charges.

In response, Agalga provided historical context to justify the increment. He explained that the airport service charge has remained unchanged since 2012 despite inflation and growing infrastructure demands. Agalga emphasized that maintaining such a low charge is unsustainable if Ghana aims to expand its aviation sector and become a hub in Africa.

Agalga outlined the specific infrastructure needs driving the levy, noting that several major airport projects require immediate funding. He highlighted projects like the expansion of Kumasi Prempeh I International Airport's runway and the construction of new regional airports in Sunyani and Bolgatanga, which are necessary to meet international standards and boost connectivity.

He also highlighted the need for improvements at Kotoka International Airport, where congestion at Terminal 3 during peak hours has become a significant issue. Plans to repurpose Terminal 2 for international flights and build a concourse linking Terminal 2 and Terminal 3 are part of the broader infrastructure upgrade.

Agalga concluded that the levy is tied directly to these pressing infrastructure needs and is not arbitrary, emphasizing that the reasons for its introduction are compelling and necessary for the development of Ghana's aviation sector.