SCRAP OVER ALLOWANCE

6th September 2019

SCRAP OVER ALLOWANCE

Photo by: Creamer Media's Dylan Slater

Transport Minister Fikile Mbalula, pictured above, launched the revised taxi recapitalisation programme (TRSA) last month at Elandsfontein-based scrapping company Anthus Service 84, which is owned by Anthus Service 84 (40%) and the taxi industry (60%). During the initial phase of the TRSA, launched in 2001, an objective of removing 135894 unroadworthy and illegal taxis from the roads was set. As an incentive, a taxi scrapping allowance scheme was established. By the end of September 2018, a total of 72 653 taxis had been scrapped and R4.4-billion in allowances paid. The objective under the second phase is to remove the outstanding 63 241 unroadworthy or noncompliant taxis, using a higher allowance of R124 000 for every taxi scrapped. The South African National Taxi Council has already raised concerns over the plan, however, arguing that the allowance is insufficient.