SA National Taxi Association welcomes launch of taxi relief support fund by Transport minister

Minister of Transport Fikile Mbalula officially launched the roll-out of the Covid-19 Taxi Relief Support Fund yesterday.

Minister of Transport Fikile Mbalula. Picture: courtesy of Twitter

Published Jan 12, 2022

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DURBAN – Minister of Transport Fikile Mbalula officially launched the roll-out of the Covid-19 Taxi Relief Support Fund yesterday.

The fund is a collaboration between the national Department of Transport and Empowerment Fund.

The once-off relief fund valued at R1.135 billion was allocated for the taxi industry, with the aim of lessening the negative financial impact of Covid-19, without compensation for loss of income, but on the principle of an ex gratia payment.

Mbalula revealed that there has been an increase in the number of people who use taxis, from 9.8 million in 2013 to 11.4 million in 2020.

The minister announced that minibus-taxi operators, metered taxis and e-hailing services were eligible for the relief.

He emphasised that “e-hailing partners” referred to South Africans who use the platform for the provision of a taxi service, and does not include corporate structures such as Uber or Bolt.

Operators must comply with the following requirements:

- An applicant must be a South African citizen or permanent resident.

- They must be in possession of a valid operating licence or a receipt as proof of renewal issued on or before the date of the declaration of the national state of disaster. (The receipt as proof of renewal is applicable only in instances where the operating licence has not been subsequently issued by the relevant provincial regulatory entity).

- The applicant must be registered with the SA Revenue Service as a taxpayer.

The payment of the funds to individual operators will be done via the National Empowerment Fund.

Applicants can apply for the relief on the department’s website, using the web-based system.

Mbalula noted that the relief fund served as an intervention method and encouraged equal distribution.

SA National Taxi Association’s Sifiso Shangase said that the organisation was happy with the minister’s announcement.

“We are happy with the manner in which the conditions have been changed. Initially, we had issues with the requirements, such as needing to have a company in order to be able to qualify. Eventually they heard our calls and allowed us to access the ex gratia payment based on being a legitimate and legal operator.”

Shangase added that it was up to them as the taxi industry to make the applications.

“Now the ball is in our court to ensure accessibility of the internet for our members, because the application process requires these facilities. We will try to make our offices able to capacitate our members with access to information and the internet so they make their submissions,” added Shangase.

THE MERCURY

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