Funding needed for transformation of public transport

The Portfolio Committee on Transport is calling on National Treasury to reconsider making available funds necessary for the transformation of the public transport system.

The committee, in its efforts to ensure quality universal public transport for every citizen, met with the Department of Transport to consider recommendations on strategies to move towards a commuter-orientated public transport system.

The recommendations were made by stakeholders such as the South African Bus Operators Association (SABOA), the South African Commuters Organisation, Small Bus Operators as well as the South African National Taxi Council (SANTACO).

The committee is in agreement with the Department of Transport that the current system of bus subsidies is problematic and is not directly beneficial to the commuter. The month-to-month renewal of bus subsidy contracts system is problematic both to the operators as they are unable to invest in new fleet and thus offer substandard services to the commuter.

The system is also not inclusive of all modes of transport, limiting commuters to one mode irrespective of the standard of service rendered. The taxi industry is negatively affected by the current subsidy system which does not include them yet they transport about 70% of road passengers.

The committee believes that National Treasury should look into making available the necessary funds needed to stabilise the system in the interim as the department and stakeholders refine their plans to have an integrated system that feeds into each another and is inclusive of all modes of public transport.

While the committee recognises the huge pressure that the fiscus is facing due to developmental needs within the country as well as the worldwide economic downturn, the committee believes that transport remains the lifeblood of the economy and funding is necessary if the sector is to effectively play the central role of being the lifeblood of the economy. 

The committee hopes that the political principals of both departments will engage and find effective solutions in ensuring that the transformation of the system happens as the country cannot afford to have an ineffective public transport system.             
 
For media enquiries:
Malatswa Evans Molepo (Mr), Parliamentary Communication Services
Tel: 021 403 8438
Cell: 073 297 1914
E-mail: mmolepo@parliament.gov.za

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