The government says it has scrapped more than 7 000 vehicles to date, but the question is how many they have been able to replace.The government's Economic, Investment and Employment Cluster is in the process of rolling out the public transport plan approved by Cabinet in January 2007. Overhauling South Africa's public transport system is a vital requirement for inclusive growth, Minister of Trade and Industry Mandisi Mpahlwa was recently reported as saying on behalf of the cluster.

BuaNews reported that the cluster has focused on strengthening the public transport network with a view to reducing the cost of living and ensuring an efficient public transport plan for commuters.

.Government has also, through the Department of Transport, continued to implement the Taxi Recapitalisation Program (TRP) and the roll out is going as planned with 20 000 old vehicles targeted for scrapping in the current year.

On accelerating the reformed bus subsidy system to incorporate taxis, Mr Mpahlwa said a draft plan had been developed and approved in principle by the transport fraternity.

In his State of the Nation Address in February, President Thabo Mbeki said government had over the past few years developed and started implementing various programmes aimed at improving passenger transport.

These include the TRP and provincial initiatives such as the Moloto Rail Corridor in Mpumalanga, around which feasibility work has started, the Klipfontein Corridor in Cape Town and the Gautrain project with its linkages to the rest of the public transport system.

"These and many other initiatives form part of a comprehensive passenger transport strategy, combining both road and rail," President Mbeki said at the time.

"We will attend to the urgent implementation of these programmes to improve the quality of life of especially the working people."

To date, 4 271 old taxi vehicles (about 4,2% of the current fleet) have been scrapped as part of the TRP. The R7.7 billion programme “ first announced in 1999 “ kicked off in October last year. Government aims for 80% of the taxi fleet to be recapitalised by 2010.

The Eastern Cape Province is leading in the process of scrapping old taxis, the latest report from the Taxi Scrapping Administrator showed. To date, the Eastern Cape has paid out R86.6 million to recapitalise the province's ageing taxi fleet, followed by Limpopo, North West, KwaZulu-Natal, Free State, Mpumalanga, Gauteng, Northern Cape and the Western Cape.

A total of R383.5m had been paid out across all nine provinces to replace the country's old 16-seater taxis with new minibus taxis

.The one province where the scrapping process seems to be having some trouble in gaining momentum is the Western Cape. The Western Cape Taxi Council recently claimed that the programme in the province was on the verge of collapse.

It claimed that only 19 taxis had been scrapped since the programme was launched five months ago “ and the council threatened to pull out if the project is not speeded up.MEC for Transport and Public Works Marius Fransman admitted slow progress, but said the deployment of additional staff should speed up the process.

Taxi council chairperson Junaid Peters reported that the taxi body had lost almost R500 000 in penalties charged by vehicle manufacturers that had not been paid scrapping allowances by the government as deposits for new vehicles.

About 300 vehicles had been ordered from manufacturers including Mercedes-Benz, Toyota, Nissan and Tata but had not been released yet due to non-payment, he said.At least 600 scrapping applications were awaiting processing by the government-appointed Taxi Scrapping Agency (TSA).

The recent coming into effect of the National Credit ACT (NCA) has had unanticipated repercussions for diverse economic sectors. The minibus taxi industry with its TRP is no exception.

 The chairman of the National Taxi Alliance recently said that the way banks assess an applicant's ability to repay a loan has led to thousands of applications for new taxi vehicle finances being turned down.

 People have gone into scrapping their vehicles thinking that it will be an automatic transaction where they will qualify for new vehicles. But that is not happening as was promised. So far the government says it has scrapped more than 7 000 vehicles, but the question is, how many have they been able to replace, he said.

In the meantime, competition on the supply side to the minibus taxi industry is hotting up.

Vehicle retailer McCarthy Motor Holdings has in the last few weeks introduced the Chinese Foton minibus and panel van range into South Africa. Probably the strongest competitive feature of the range is its price tag.

McCarthy's Vehicle Import division MD Brett Soso says the minibus is aimed at the taxi, school and hospitality markets. The 12-seater is fully compliant with taxi recapitalisation regulations, Soso was reported as saying.

Old habits, however, seem to die hard in this highly competitive industry, and there have already been some reports of taxi operators adding extra seats to the Foton. While this is done to increase revenue per trip, it negates the intentions of the recapitalisation regulations.

On another front, the most prominent icon of the minibus taxi industry for some decades is finally reaching the end of the road.

Vehicle manufacturer Toyota South Africa (TSA) will halt production of the popular Siyaya minibus taxi at the end of the year. South Africa is the only country in the world where this Hi-Ace model “ capturing, at one point, about 80% of the minibus taxi market “ is still produced.

A TSA spokesperson said the current Siyaya model could not meet some of the new regulations of the taxi recapitalisation process.

The 400 people currently employed on the Siyaya production line at the company's Durban plant will be absorbed into other production areas within the facility and the freed space will be used for other production requirements, he said.

Average monthly sales for the Siyaya are currently about 850 units. Sales averaged about 250 a month in the 1980s, growing to 500 a month in the early 1990s and onwards to the current 800-plus unit level on the back of the 16-seater's popularity as a minibus taxi.

The name Siyaya (we are going forward) was introduced in 2001, but the vehicle has been on the market as the Toyota Hi-Ace since 1969.

The local arm of Japanese vehicle manufacturer Nissan has since also announced that its redesigned Interstar minibus complies fully with the requirements of the taxi recapitalisation project.

The new 16-seater minibus, produced locally for the taxi market, will become available towards the end of the year. The current Interstar is a 15-seater vehicle.

The Interstar received the stamp of approval from the South African Bureau of Standards (SABS).

Tilt-angle tests using fully-laden vehicles were recently conducted at Gerotek to determine the angle at which the vehicle would fall in the event of an accident.

Nissan South Africa says that safety features include the Interstar's ABS braking system, headrests, SABS-approved seatbelts, and a roof escape hatch in the event of an accident.

Priced at R154 900, the Foton presently represents the cheapest option available to the industry. Another Chinese competitor, the Inyati, comes in second at R169 000, with the popular Toyota Quantum in third place at R243 800.

 Leon  Albert

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