12 December 2012

Namibia: Price Regulation 'Ruins Transport Business'

Windhoek — President of the Namibia Bus and Taxi Association (Nabta), Magnus Nangombe, yesterday claimed that government was running the transport business down into the ground, because long distance buses are no longer allowed to charge what they want.

He said with the current ticket price of N$190 from Windhoek to Oshakati agreed between Nabta and the government, long distance buses were not making a profit, but rather they are "forced to run their businesses down".

He says when there is a fuel increase consumers will feel it in the shops the next day, but with the transport sector, the fuel will increase seven or ten times before operators can increase their fares.

Nangombe wants the government to allow long distance buses to function like any other business to compete and to enable them to charge what they wish.

Meanwhile, the long distance buses to the north will soon be moved from Hereford to a site near Okahandja Park, Nangombe said.

Joshua Amukugo, the communications manager of the Windhoek Municipality yesterday said the municipality is still trying to identify a manager for the new site, before it can open for business. Amukugo said no date has been set for the opening.

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