“There’s definitely going to be an increase,” Santaco says on taxi fare

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The South African National Taxi Association (santaco) says it is still consulting with other provinces regarding an increase in taxi fares.

Santaco was due to announce new taxi prices after its three-day national conference at Sun City in Rustenburg, in the northwest, earlier this month.

The conference saw Abner Tsebe elected as the new president of Santaco, replacing Phillip Taaibosch.

Amid the ongoing conflict between Russia and Ukraine – which has affected fuel prices globally – commuters are facing rising travel fares.

“There is definitely going to be an increase in taxi fares,” Santaco national spokesman Thabiso Molelekwa said. The citizen Monday.

ALSO READ: ‘It’s going to hit drivers hard,’ Ramaphosa says of expected petrol price hike

Molelekwa said Santaco is still in talks with various provinces about this, as taxi fare increases are usually set by individual road associations.

While Molelekwa indicated that the new prices could be communicated in two weeks, it is expected that the increase will take effect in July this year.

The price of petrol is expected to increase by 1.93 rand, while diesel will increase by 1.60 rand for the month of June.

The increases will push petrol prices to over R24 ​​per liter in Gauteng and diesel to over R25 per litre, with the temporary general fuel tax reduction due to end this month.

Subsidize the taxi industry

Minister of Transport Fikile Mbalula was also present at the Santaco conference, where he reiterated the importance of formalizing the taxi industry.

Last October, Santaco in Gauteng expressed concern that the taxi industry was not subsidized by the government after deciding not to raise taxi fares.

“We are not subsidized like the taxi industry. That’s why we’re forced to, you know, say if need be we’ll have to increase otherwise depending on the increase in gasoline but economically then it affects our pockets,” said the general secretary of Gauteng Santaco, Ralph Jones. EWN.

Mbalula said earlier this year that the government was still in talks to establish a subsidy for the taxi industry.

“We are dealing with the issue in terms of subsidizing taxis, especially for commuters. As you all know, I specifically cited the survey conducted by Stats SA, funded by the Ministry of Transport, which revealed that the taxi industry is a burden on poor households,” Mbalula said in January.

He previously said the government aims to subsidize the taxi industry by April 1, 2021.

According to the minister, more than 20% of the taxi industry has suffered a total loss of revenue due to the Covid-19 pandemic, especially long-distance and cross-border operators due to the closure of international borders and the prohibition of interprovincial transport. travel.

READ MORE: Black Business Council pledges support for Mbalula’s plans to formalize taxi industry

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