Transport Minister Sibusiso Ndebele has said that real empowerment of the taxi industry is no longer merely a cliché but is fast becoming a reality.
"We have repeatedly been asking, where are blacks and particularly Africans, located in the mainstream economy of our country? We have constantly maintained that the taxi industry, which is black-owned, controlled and run, cannot forever remain at the margins in economic terms. The taxi industry is a key player in the economy of our country. We believe the taxi industry is a key player in the transport sector.
We must also open the taxi industry to include activities beyond the running of a taxi to other benefits in the transport value-chain. The taxi industry must, therefore, access as many opportunities in the transport sector and in the broader economy of our country. We are therefore proud that recent empowerment deals are testimony to the fact that real economic empowerment and transformation of the taxi industry is no longer merely a cliché but is fast becoming a reality.
"This includes the Free State Provincial Government's Maluti Bus Service transformation process, which is starting to bear positive results for these beneficiaries of broad-based Black empowerment. To date, about 148 former employees have received R40 000 each and payment to the remaining beneficiaries is expected to be finalised by the end of March 2011. The taxi industry, through their shareholding in Maluti Bus Service (MBS), currently have accumulated about R9 million which will be reinvested in the transformed MBS for purchasing of a new fleet of buses. Taxi operators are to acquire a decisive and quantifiable benefit in this process, and equally strike a balance in the viability of the business and the financing thereof.
"On 7 February 2011, we handed over to taxi industry shareholders Phase 1A Bus Operating Company of the Rea Vaya Bus Rapid Transit (BRT) system in Johannesburg. The value of the contract is approximately R184 million per year. Johannesburg's BRT system has been described as far better than that of New York by Walter Hook, Head of the Institute for Transportation and Development Planning in New York City, during a tour of Rea Vaya BRT facilities on 25 February 2011.
"These and other empowerment initiatives within the transport sector indicate that we are certainly moving in the right direction towards ensuring that the taxi industry becomes part of the mainstream economy. Our common agenda is, indeed, to ensure the empowerment of our people.
The BRT and other initiatives in the transport industry, including the provision of public transport as opposed to our current system of commuter transport which means up to 24-hour operations, can offer a significant entry point for the current taxi industry to become one of the most powerful players in our economy. The taxi industry must prepare to play a more meaningful role in the future. The taxi industry has more than 64 percent of our commuting services in South Africa. It is the biggest black-owned industry. It is available in each and every town.
"To this end, we welcome the South African National Taxi Council's (Santaco's) TR3 2020 strategy for the redefining, restructuring and repositioning of the industry till 2020. A vibrant taxi industry that shares the vision of transformation in improving public transport, in addition to bus operators and passenger rail operations, is what is needed in our country. We have faith in the taxi industry. It is only through working together that our endeavour to implement our much needed integrated public transport networks can be achieved," said Minister Ndebele.
Enquiries:
Logan Maistry
Cell: 083 6444 050
