The Bus and Taxi Owners Association of Zambia – BTOAZ spokesperson Amis Daudi has revealed that whoever come up with the Road Transport and Safety Agency – RTSA published fare reduction rates and amounts which have been disputed does not appreciate the reality and intricacies of the public transport business model and risks killing the private transport sector.
Daudi stated that what RATSA published to the public regarding the [proposed] 14% bus fare reduction is at variance with what was discussed at the consultative and stakeholders meeting that had been held with key stakeholders.
He said the numbers RATSA published are totally different from what was discussed in the meeting, adding that what was published is simply telling people in the transport industry to reduce or erode their current incomes by 50%, which would make the business unsustainable.
In an exclusive interview with the Zambian Business Times – ZBT, the BTOAZ spokeperson said whoever was working on the numbers from RATSA is [inexperienced or] not close to the business reality on the ground.
Daudi further added that the reduction has not taken into consideration other operating expenses thst the Taxi and Bus operators pay for. Among other operational costs that the industry contends with are insurance costs, maintenance costs and the driver’s salary among others. “We have not closed the door, our door is still open for them [RTSA] to engage”, he stated.
And a random check conducted by ZBT has revealed that the new fare chat has not been released, hence no reduction has been effected. This has created some friction between passengers and bus operators, a situation that needs urgent resolution.
A Lusaka based bus driver spoken to by ZBT stated that it is unfortunate that RTSA has suggested to peg the price reduction for fares that is more than what was reduced to when you look at the price of fuel, hence affecting the [income] and cashing that was being generated.
“Us for example who operate from Kanyama Roma Shungu route, it will be very difficult to work on what was announced, because people currently pay K8, meaning that if the K5 reduction that was announced by RTSA is effected, that will mean that passengers will start paying K3, which will be very difficult for us to balance up because we have cashing (daily income target) to meet ”, he stated.
James Saili said the only hope him and his fellow drivers have is to see the fuel price to reduce further if the proposed fares are to be accepted and for them to make it easy to do business. A check across the key cities in Zambia of Lusaka, Kitwe, Ndola and Livingstone shows that the RTSA reduced fares have not been implemented.
