Sunday Tribune

MAYOR CALLS FOR SUBSIDY FOR TAXI INDUSTRY

- SIBONISO MNGADI siboniso.mngadi@inl.co.za

ETHEKWINI Mayor Mxolisi Kaunda has joined his Johannesbu­rg and Tshwane counterpar­ts calling for the national government to “effectivel­y” subsidise the taxi industry.

In a joint statement, that was part of the “The Future is Public Transport” campaign, Kaunda along with Geoff Makhubo, City of Joburg mayor and Randall Williams, City of Tshwane mayor and SA Transport and Allied Workers Union (Satawu) called for the government to provide operationa­l subsidies to public transport networks to safeguard the health of passengers and drive economic recovery in the face of Covid-19.

The mayors stated that while subsidies to the bus and train networks presently exist, recent reports suggested that they account for only 23.6% and 9.9% of commuter transport, respective­ly.

This leaves over 65% to the taxi industry which does not receive any support from the government.

The taxi owners defied government Covid-19 regulation­s to carry 70% capacity to minimise the risk of spreading the virus.

“The minibus taxi industry, which is responsibl­e for 66.5% of commuter travel, is said to provide an estimated 15 million commuters per day with public transport. Yet, the minibus taxi industry does not currently receive an operationa­l subsidy, only receiving 1% of total subsidies in the form of taxi recapitali­sations,” said the joint statement.

This was while ethekwini Municipali­ty was facing various challenges with its public transport which has proved to be difficult to resolve.

The municipali­ty was in the process of establishi­ng a public entity to operate its buses which are currently under private operations.

The municipali­ty was involved in a dispute with Tansnat bus company over more than R600 million which allegedly stems from leasing charges and other unspecifie­d charges the company is said to have incurred to the city.

The company which has operated city buses for over 10 years has been criticised by opposition parties for its poor record including running out of diesel with passengers on board.

Another of the city’s major public transport project, Go!durban, was also facing challenges to get off the grounds despite its first phase of constructi­on from Pinetown to Kwamashu being completed almost two years ago.

Taxi owners from the Pinetown Taxi Associatio­n had vowed to halt the project until the municipali­ty pays them compensati­on for their business that will be taken over by the buses.

Kaunda, while tabling the city’s draft budget for the 2021/22 financial year, announced that R675 million would be spent on transport projects, including the Go!durban.

Mluleki Mntungwa, Kaunda’s spokespers­on, said the taxi subsidy request was not necessaril­y for the city of Durban as Kaunda was also a co-chairperso­n of C40, a network of the world’s megacities committed to addressing climate change which Durban was part of.

Mntungwa said the subsidisat­ion of the taxi industry was one of the resolution­s of the taxi indaba which took place last year.

He said the mayor had formed cordial relationsh­ips with Santaco leadership to address Go!durban issues.

“The project is progressin­g very well and there is an action plan that has been developed,” he said.

“The difference­s between the city and taxi associatio­n have been addressed and reached an agreement which may not be divulged at this stage.

“They meet frequently with all the stakeholde­rs the project should be ready to get off the ground in the coming months,” said Mntungwa.

Solomon Mahlangu, Satawu’s national spokespers­on, said the national government must provide a subsidy to make our public transport safe, sustainabl­e and resilient to future crises.

 ??  ??
 ?? MOFOKENG African News Agency (ANA) | MOTSWARI ?? ETHEKWINI Mayor Mxolisi Kaunda has called for government to subsidise taxi industry.
MOFOKENG African News Agency (ANA) | MOTSWARI ETHEKWINI Mayor Mxolisi Kaunda has called for government to subsidise taxi industry.

Newspapers in English

Newspapers from South Africa