In Summary
  • The ministry should consult the PSV operators to agree on broad realistic rates. .
  • This public interest matter must be carefully thought through and executed firmly.

The proposal by the Transport ministry to regulate public service vehicle fares is bold and appropriate.

Ordinarily, ours is a free-market economy where prices are dictated by demand and supply. In that context, it is not the business of the government to control fees in the private sector.

However, dire circumstances necessitate drastic actions. PSVs, especially matatus, have the notoriety to operate outside the normative realms.

The industry is characterised by chaos, indiscipline and exploitation. It is a world of lawlessness, where anything goes.

ORDER

Fares are erratic and passengers are exploited at the slightest of chances. Vehicles are driven recklessly and perpetually put the lives of passengers at risk. Clearly, the government cannot allow a clique to control the lives of the people.

This provides the justification for amendments proposed by the ministry that seek to change the Traffic Act and the National Transport and Safety Authority (NTSA) law to provide for price regulation.

The proposed amendments have been submitted to Parliament for review and approval. Regulating prices is an important step in creating order in the sector.

But right from the outset, it must be observed that the plan is replete with challenges.

Enforcing such rules will be particularly daunting, given the sheer numbers of vehicles and the capacity of the ministry, the police and NTSA to monitor them.

Page 1 of 2