R408m allocated for taxi industry relief raises eyebrows

FURTHER efforts to mitigate the negative impact of Covid-19 on the taxi industry, the Transport Department has announced the allocation of R408 million in its 2025/26 budget for disbursement as relief funds.

- MAYIBONGWE MAQHINA

This was disclosed by Transport Minister, Barbara Creecy, when she was responding to Build One South Africa (Bosa) leader Mmusi Maimane, who asked about the once-off gratuity allocated in the budget tabled in Parliament.

Maimane asked the purpose of the allocation, its rationale, intended beneficiaries and criteria to determine its distribution.

In her written response, Creecy said Cabinet approved the once-off relief fund to the tune of R1.135 billion in 2021 to mitigate the negative impact of Covid-19 on the taxi industry.

She said due to a number of challenges in the taxi industry, not all operators accessed the relief funds.

"As at March 2023, approximately 56 623 operating licences on the system were still not paid," she said.

Creecy also said Cabinet approved the extension on August 3, 2023, to allow the balance of R708m to be paid to outstanding taxi operators.