The Driver and Vehicle Licensing Authority (DVLA) has announced a major reduction in the cost of its roadworthy service-level agreement (SLA) after successfully renegotiating the contract under the leadership of its Chief Executive, Julius Neequaye Kotey.
According to the DVLA, the previous agreement, signed during the New Patriotic Party (NPP) administration, was valued at approximately $51.8 million per year, committing the Authority to an estimated $155.4 million over a three-year period.
Following a review of the agreement, the current National Democratic Congress (NDC) administration renegotiated the contract, reducing the total cost to GH¢2 million for the same three-year duration.
The revised roadworthy contract replaces a high-value foreign currency commitment with a significantly lower agreement denominated in Ghana cedis, a move expected to improve cost efficiency and strengthen financial management within the Driver and Vehicle Licensing Authority.
Speaking on Citizen on Accra 100.5 FM, DVLA Chief Executive Julius Neequaye Kotey said the renegotiation forms part of the Authority’s broader strategy to ensure value for money, promote transparency, and improve operational efficiency in the delivery of roadworthy certification services.
The DVLA believes the new agreement will help reduce public expenditure while maintaining quality service delivery for vehicle owners seeking roadworthy certificates and other licensing services across Ghana.
Industry observers have described the renegotiated contract as one of the most significant cost-saving measures in the transport sector, highlighting its potential to enhance public sector accountability, prudent financial management, and efficient use of state resources.
Source: newsthemegh.com