Only 18 months after the Blue Dot incentive programme was introduced in the minibus taxi industry, the provincial government has decided to terminate it as a R42 million shortfall hangs over its head.
The programme is scheduled to conclude on November 30 as the provincial Department of Transport says it has run out of money and needs the national government to help with R42m to be able to run until the end of the current financial year.
Chairperson of the SA National Taxi Council (Santaco) Mandla Hermanus said the organisation was informed of the decision to scrap the programme by the provincial government on November 30.
“We are unhappy and disappointed by the provincial government’s decision. We believe that if it has the will and commitment to transform and subsidise the industry, it can easily find the necessary funds.
“This is a truly sad day for the minibus taxi industry in the Western Cape and for the millions of passengers in the province who rely on our services,” said Hermanus
He said even though the taxi industry was currently the backbone of public transport in the province, it remained unsubsidised and had to absorb some costs as a result of rising fuel prices.
“We transport over two million people every day and every effort should be made to support our industry to become better, safer and to formalise our industry and improve the quality of service we provide.”
Hailed as a “game-changer” and a first in the minibus taxi industry nationally, the Blue Dot programme was aimed at rewarding driver behaviour and good passenger service.
The programme, with 800 minibus taxis participating, was rolled out across the province including Cape Town, Mossel Bay, Plettenberg Bay and George in May 2021.
Each participating vehicle was branded and fitted with a tracker to allow the authorities to monitor them on the roads.
Transport MEC Daylin Mitchell described the programme as a “remarkable success”.
“We have shown that the Blue Dot pilot project works, and works well.
“However, we need the support of the national government to fund the continuation and expansion of this powerful pilot programme. Funding this programme is the mandate of the national department for transport,” said Mitchell.
Hermanus said instead of expanding the programme to more drivers and routes the good work was being “thrown down the drain”.
“So if a pilot programme proves this successful, how can it be stopped? Is it because the authorities are now losing a stream of revenue because the behaviour of drivers has improved?“
Hermanus said the provincial government was funding other modes of transport including buses “to the tune of billions of rands per year”.
“They cannot now say that there is no money to fund the Blue Dot programme. It was never an initiative of the national government in the first place.”
Santaco urged the provincial government to reconsider its decision.