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Taxi subsidy on the cards

14 September 2005

The government is looking to integrate the minibus taxi industry into its subsidised public transport system. This was announced by Transport Minister Jeff Radebe on Tuesday, as he presented the first-ever South African National Household Travel Survey to Parliament's portfolio committee on transport.

"Sixty-four percent of our people use [minibus] taxis, yet there is no subsidy for them," Radebe said. The government aims to remedy this through various interventions, including the subsidy scheme.

Existing subsidies are a yearly R2.2-billion for bus transport and R2.5-billion for trains. The government plans to integrate taxis into the bus subsidy system, Radebe said.

The taxi recapitalisation scheme is in the process of being rolled out, he said. From 1 January 2006 no new taxis will be issued with licences if they do not comply with safety requirements.

The government also plans to phase in new taxis onto South Africa's roads from July 2006, in a five- to seven-year programme. Radebe said the government expects over 75% of taxis to be compliant with the new safety regime by 2010.

The National Household Travel Survey, conducted by a contractor under the supervision of Statistics South Africa, interviewed members of 45 000 households throughout the country.

This made it "among the largest ever undertaken in the world", the minister said.

"The real value of the survey is that the different spheres of government will be able to drill down to the detailed data to assist them in their integrated transport plans and integrated development plans," Radebe said.

The survey found that 30% of households did not experience serious transport problems.

Problems were most common in rural areas, where 82% of people - about 3.6-million households - were found to experience difficulties with transport.

One initiative to solve the country's transport problems is the consolidation of the passenger rail system, including the refurbishment and recapitalisation of rolling stock.

Radebe said rail stations are being refurbished, including that of Cape Town's large Khayelitsha township.

Source: BuaNews

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