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Revised Taxi Recapitalization Programme on Track

August 6, 2019

Department of Transport

6 August 2019

The Revised Taxi Recapitalization Programme (RTRP) will be launched within the transport department’s 100 day programme.

The deputy minister of transport, Dikeledi Magadzi, announced this in a recently released speech delivered at the Occasion of the Women in Transport “Empowerpreneurship” Summit held in Cape Town at the end of July 2019.

The RTRP was announced by the previous transport minister, Blade Nzimande, in April 2019.

Government had earlier decided to revise the Taxi Recapitalization Programme to “meet the current and future needs of commuters and to stimulate the economic potential of the industry”.

A new service provider, Anthus Services 84 (Pty) Ltd, was appointed in March 2019 as the technical partner responsible for the administration and management of the RTRP.

The minister also announced that the taxi scrapping allowance had been increased from R91 100 to R124 000 per scrapped old taxi.

Taxi Recapitalisation SA (TRSA) has been set up as the trading entity to implement the RTRP. Sites have been established in all nine provinces to receive applications for scrapping.

The scope of the programme has been expanded to include commercialization focused on the affordable supply of new taxi vehicles, finance, short-term insurance, spare parts, repairs and electronic fare collection; illegal operations and verification process involving a nationwide survey to ascertain all taxi operators and change management and unity to revise the taxi industry operating model to ensure collaborative ownership and operating models.

In her speech, the deputy minister described the programme as designed to not only give the taxi industry a major capital boost but also benefit the road safety strategy.

The deputy minister also indicated that a collective solution involving all parties in the road freight industry, characterized recently by road blockages by aggrieved truck drivers, is close at hand.

With regard to the Transport Sector B-BBEE Charter Council, the term of which has since expired, the deputy minister confirmed that the department is “working in earnest to reinstitute another Charter and one of its immediate tasks is to finalise the development of the new B-BBEE Codes for the transport sector”.

The Charter Council focuses on the implementation, monitoring and evaluation of B-BBEE and transformation.

The deputy minister also reiterated that government remained committed to a SA flagged vessel incentive to support government efforts to attract investment into the local maritime industry and support job creation and skills development.