The 16 per cent hike in fares for public passenger vehicle (PPV) operators that were due to come on stream on April 1, has been deferred as a result of an agreement that has been reached with representatives of the operators and the Government.
In a release late on Thursday afternoon, the Transport Ministry said Finance and the Public Service Minister, Dr Nigel Clarke; Transport Minister, Daryl Vaz; along with Permanent Secretary Carol Palmer and a team from the Transport Ministry; and the management of the Transport Authority (TA), met with members of the Transport Operators Steering Committee and other transport sector leaders to discuss the fare increase that was due on April 1, 2024.
The ministry said the transport sector was asked for a deferral of the expected increase, with Clarke acknowledging that the Government recognises the hardships that are being faced by the sector and what a fare increase would mean for their operations, but citing the need to maintain inflation in single digits in order to keep the economy on course.
The release said it was noted that the transportation sector has one of the largest impacts on inflation.
Vaz commended the operators for their understanding and their acceptance of the deferral, and gave a commitment to continue to work collaboratively with them to identify and agree on other incentives for the sector.
The release said he mandated the Transport Operators Steering Committee to meet and design a comprehensive transportation incentive framework that would take into account measures that would have less adverse impacts on inflation.
Vaz also assured the sector that the following concerns would be addressed in this financial year:
● Replenishing of rolling stock through an adjustment to the Motor Vehicle Import Policy;
● Implementation of the driver training programme; and
● Upgrading of transport centres across the island.
The release said the representatives of the transport sector applauded the portfolio minister’s collaborative approach since assuming responsibility for the sector, and expressed appreciation for what has been described as “the forthright approach taken by Minister Vaz in communicating the Government’s position in this matter.”
