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Santaco wants faster progress on infrastructure and licensing reforms
Santaco wants faster progress on infrastructure and licensing reforms

The Citizen

time02-07-2025

  • Automotive
  • The Citizen

Santaco wants faster progress on infrastructure and licensing reforms

Santaco wants faster progress on commuter support, infrastructure, and licensing reforms The South African National Taxi Council (Santaco) has responded with cautious optimism to the 2025 National Transport Budget Vote. It welcomed key commitments while urging the government to act more decisively on long-standing industry challenges. Santaco's delegation, led by first deputy president Mazwe Nkonki, attended the budget vote tabled by Transport Minister Barbara Creecy in Cape Town on Wednesday. While acknowledging some progress, the council stated that critical issues facing the taxi industry remain unresolved. Road safety targets Santaco endorsed the Department of Transport's target to reduce road fatalities by 45% by 2029, describing it as 'a commendable ambition'. Although the council stressed that reaching this goal would require concrete actions such as round-the-clock traffic law enforcement and intensified public awareness efforts. 'We call for increased 24-hour traffic visibility and awareness campaigns to support this goal,' Santaco said in a statement. 'Poor road conditions continue to damage vehicles and endanger lives. We urge government to implement regular monitoring and maintenance of all roads, especially because the taxi industry's routes move from the very rural areas to the most urbanised areas.' Minister Creecy confirmed in her speech that Sanral had taken over 3 099km of provincial roads and would reprioritise maintenance efforts through its Route Road Maintenance Programme. ALSO READ: DA demands full AGSA report on R400m driving licence tender Growing frustration over commuter subsidy delays One of Santaco's strongest criticisms was the continued exclusion of taxi commuters from public transport subsidies. 'While we note the intent to explore a subsidy model, the pace is too slow. 'With taxis transporting over 60% of commuters daily, a fair, inclusive subsidy system must be urgently introduced to ensure affordability and equity,' said Nkonki. Although Creecy said her department is committed to working with the industry to reduce vehicle repayment costs and align operating licences with financial terms, Santaco stressed that 'intent alone is not enough'. ALSO READ: Outa calls for no fines during driver's licence backlog Implementation lags The council applauded the taxi industry's inclusion in government transformation and decarbonisation efforts, including the Transformation Fund, which aligns with the 2020 National Taxi Lekgotla resolutions. 'This assures the industry that government supports our idealised socio-economic development of the sector in collaboration with government,' Santaco said. However, they flagged that the implementation has been sluggish. Santaco said it supports Creecy's plans to streamline operating licence issuance and tie licence validity to vehicle finance terms. 'This will support compliance and financial sustainability for taxi owners,' the council stated. ALSO READ: Three teachers dead, two injured in horror Eastern Cape crash Industry urges accelerated action While expressing cautious optimism, Santaco outlined urgent priorities: Fast-tracking a taxi commuter subsidy model Improved maintenance of roads and taxi ranking facilities 24-hour traffic enforcement Accelerated operating licence reforms aligned with loan repayment terms 'Santaco remains committed to constructive engagement and a transport system that is fair, safe, and inclusive for all,' it said. NOW READ: Transport minister has big hopes for big plans

Transport minister raises concerns over lack of formalisation in taxi Industry
Transport minister raises concerns over lack of formalisation in taxi Industry

IOL News

time09-06-2025

  • Business
  • IOL News

Transport minister raises concerns over lack of formalisation in taxi Industry

Transport Minister Barbara Creecy has expressed serious concern over the government's ongoing failure to formalise South Africa's taxi industry Image: Armand Hough/Independent Newspapers Transport Minister Barbara Creecy has expressed serious concern over the government's ongoing failure to formalise South Africa's taxi industry and align it with what she called "normal competitive business practices". 'I am very concerned that we do seem to be failing to formalise the taxi industry and to ensure that this industry operates with what one could call normal competitive business practices,' Creecy said in interview broadcaster Newzroom Afrika.. She noted that this issue has been central in her discussions with national taxi associations, and affirmed that it remains a top priority in the government's engagement with the sector. 'It's my belief that we can't continue this way. It brings the industry into disrepute, and it poses a danger to commuters,' she added. Her comments come amid escalating concerns about violence in the taxi sector. Last week, four people were killed at the Emfuleni taxi rank in the Western Cape, when armed men opened fire. According to reports police believe the shooting may have been triggered by a dispute between the taxi associations CATA and CODETA, who are reportedly in conflict over control of a taxi route linking Mfuleni and Somerset West. Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Next Stay Close ✕ Ad Loading Responding to the Minister's comments, South African National Taxi Council (Santaco) national spokesperson Mmatshikhidi Rebecca Phala acknowledged the slow pace of reform. "The Minister's concern is our concern, the pace at which efforts to formalise the taxi industry are going is concerning, since the 2020 National Taxi Lekgotla during which we resolved to professionalize the industry through collaboration, processes have been moving at a pace slower than we would have hoped for," Phala said. "However, not all hope is lost. We are hard at work with our road safety initiatives, use of security services for our ranks, driver and marshal training, introduction of automated fare collection systems and the restoration of other commuter safety initiatives. We draw inspiration in hearing the Minister continue to highlight the work that has to be undertaken alongside the department and other agencies and private partners". Creecy emphasised the crucial role of the taxi industry, which she said transports nearly 80% of the country's commuters and is 100% black-owned. 'We really need to move from the current situation,' she urged, calling for deeper structural reform, better oversight, and collaborative problem-solving across all levels of government and industry. According to Phala, changes are underway within the industry. "All taxi associations are now moving from the operation of sole proprietor taxi businesses to the formation of cooperatives which will employ drivers and other workforces of the industry into employees who will receive salaries and other work benefits in alignment with the Basic Conditions Of Employment. Operators are becoming directors of taxi businesses though cooperatives to ensure tax compliance and other levy contributions," she said. On the issue of violence, Phala said the industry was working with all law enforcement. "To address ongoing violence, we have collaborative efforts with law enforcement agencies to combat crimes. Equally, because we understand that turf wars are linked to the competitive nature of the transport sector, we are introducing other value chain opportunities like sale of lubricants and fuel, sale of vehicle parts and other businesses for operators to leverage multiple business opportunities and not focus on one opportunity". IOL Business

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