Question NW379 to the Minister of Transport
13 March 2024 - NW379
Nolutshungu, Ms N to ask the Minister of Transport
With reference to her reply to question 3312 for oral reply on 9 November 2023, wherein she indicated that there are a number of different subsidy models for taxis being considered and explored, what (a) are the full, relevant details of the subsidy model that is being considered for the taxi industry, (b) are the specific time frames for its implementation and (c) progress has been made to date?
Reply:
a) The referenced reply (to question 3312) stated that the Department is developing a public transport subsidy policy that will locate the subsidisation of minibus taxi users within the wider, multi-modal subsidy framework as part of the public transport funding reforms. This implies a move away from mode specific subsidisation to a subsidised network serviced by a combination of modes to minimise the cost of transport. Therefore, subsidy would be for public transport in general and not necessarily for taxis separately. The different models being considered includes the supply side, demand side and user targeting just to mention a few. Direct public transport subsidy applies exclusively to formalised public transport services and, in many cases, take the form of different types of contracting.
(b) The draft public transport subsidy policy has been published for public comments on the 23rd of February 2024 in Government Gazette 50176. The public consultation process will close on the 31st of March 2024 where after the Department will start the process of submitting the policy for Cabinet approval. Implementation will only commence once the final subsidy policy is approved by Cabinet.
(c) Refer to (b) above.