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CHAPTER 4 GOVERNMENT POLICY AND NATIONAL LEGISLATION

CHAPTER 4 GOVERNMENT POLICY AND NATIONAL LEGISLATION. GUIDELINES FOR PASSENGER TRANSPORT IN SOUTH AFRICA A MULTI MODAL ANALYSIS. 4.1 Introduction. Governments respond to issues through transport policies Transport policies:

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CHAPTER 4 GOVERNMENT POLICY AND NATIONAL LEGISLATION

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  1. CHAPTER 4GOVERNMENT POLICY AND NATIONAL LEGISLATION GUIDELINES FOR PASSENGER TRANSPORT IN SOUTH AFRICA A MULTI MODAL ANALYSIS

  2. 4.1 Introduction • Governments respond to issues through transport policies • Transport policies: • are based on investigations into transport issues through consultation with all stakeholders, • which usually take the form of policy workshops and conferences and are • underpinned by research carried out by consultants, academics and advisers to government.

  3. 4.1 Introduction cont’ • The process is marked by the publication of “Green Papers” or “White Papers” on transport policy which are distributed for comment and further input, prior to the drafting or passing of legislation.

  4. 4.1 Introduction cont’ • In October 2006 the Government released a document called “Draft Strategy to Accelerate Public Transport Implementation via a WIN-WIN-WIN partnership between Government, Existing Operators and Labour”.

  5. 4.1 Introduction cont’ • this “3WIN” strategy, reflects the most recent thinking of the Government on the subject. • It highlights the problems currently being experienced and suggests a number of strategic building blocks that are required to guide the transformation of public transport.

  6. 4.2 The White Paper 4.2.1 Land passenger transport • Passenger transport is a generic term used to describe both public and private modes of travel for all purposes, whether commuting or other business related travel, shopping, tourism, recreational and casual travel.

  7. 4.2 The White Paper cont’ 4.2.2 Mission The mission of the Department of Transport in respect of land passenger transport is to provide leadership in: • “The promotion of a safe, reliable, effective, efficient, coordinated, integrated, and environmentally friendly land passenger transport system in South African urban and rural areas, and the southern African region, managed in an accountable manner to ensure that people experience improving levels of mobility and accessibility”.

  8. 4.2.4 Policy statements • The public passenger transport system in South Africa will be based on regulated competition. (Although not specifically defined in the Act, regulated competition refers to competition for the route and not on the route”).

  9. 4.2.4 Policy statements cont’ • The regulation will be in the form of an operating licence, contract or concession awarded in terms of a passenger transport plan and supported by strict law enforcement. • Operating licence is the authority to operate a route or network with no subsidy. (Note: this implies the minibus-taxi mode, but can also include buses)

  10. 4.2.4 Policy statements cont’ • Contract is the authority to operate a route or network at a tendered contract price. (This implies the bus mode, but can also include mini- and midibus-type vehicles) • Concession is the authority to operate a rail line or network at an agreed price.

  11. 4.2.4 Policy statements cont’ • There will be a fundamental shift away from monopolistic situations. • There will also be a shift away from systems which target commuters only towards one which benefits all passengers. • where public transport services require government support, for example for welfare, or traffic management, or strategic reasons, competition will take the form of tendered contracts

  12. 4.2.4 Policy statements cont’ • Where public transport can be rendered as profitable commercial services, on-the-road competition will be encouraged, with competition being regulated through the issuing of operating licences based on capacity management in terms of the supply policies of the provincial or local passenger transport plans.

  13. 4.2.4 Policy statements cont’ • An operating licence is the authority to operate a route or a combination of routes or a network. • Operating licences will be awarded in terms of a passenger transport plan and supported by strict law enforcement.

  14. 4.2.4 Policy statements cont’ • In the case of contracts, in order to ensure that there is fair competition between competing tenderers, all public transport operators should: • operate on business principles with financial ringfencing, • have no unfair access to financial resources other than on a • commercial basis, • operate as independent legal entities, and • be liable for taxation.

  15. 4.2.4 Policy statements cont’ • Successful tenderers, when awarded a contract, will automatically be awarded an operating licence to operate. • Operating Licences for unsubsidised services will also be awarded only to registered operators on the basis of a passenger transport plan.

  16. 4.2.5 Regulated competition a) Minibus taxis • Regulated competition means taxi industry will have to be formalised • Minibus taxis could form legally registered businesses, for example, co-operatives or companies, or be registered associations. • Minibus taxi businesses may apply for operating licences and/or contracts either on their own or in partnership with bus operators.

  17. 4.2.5 Regulated competition cont’ b) Bus operators • Operators may obtain operating licences to operate from the provincial permit board • Contracts will be awarded only to bus companies which: • operate on business principles with ringfencing of finances and • no unfair access to financial resources except on a commercial basis, • operate as independent legal entities, and • are liable for taxation.

  18. 4.2.5 Regulated competition cont’ c) Rail passenger transport • The national transport authority will own the commuter rail infrastructure, rolling stock and land associated with rail reserves until the provincial or metropolitan transport authorities are in a position to take over this responsibility.

  19. 4.2.5 Regulated competition cont’ • Concessioning the operation of rail services on a competitive basis (whether to the public or private sector) will help cut fare evasion and improve services, because the money made or lost will impact directly on the operator.

  20. 4.4 The WIN-WIN-WIN (3WIN) Strategy • In its executive summary, the 3WIN strategy (2006) concedes that: • The public transport sector in South Africa in 2006 is at a strategic crossroads.

  21. 4.4 The WIN-WIN-WIN (3WIN) Strategy cont’ • Over the next decade it either: • Remains a third class service for captive users and thus loses ridership to private cars — an unsustainable future, or • It undergoes a phased overhaul (between 2007 and 2020) to form an integrated mass rapid network that is a viable, car competitive mobility option or ALL citizens in a city or district.

  22. 4.4 The WIN-WIN-WIN (3WIN) Strategy cont’ • The 3WIN document recognises that much of the problem can be traced to the negative role of transportation engineers and consultants (as referred to in chapter 3). • Some of its observations are quoted below: • the promise to transform and upgrade public transport, walking and cycling and to manage and control car use has not been adequately implemented during this time.

  23. 4.4 The WIN-WIN-WIN (3WIN) Strategy cont’ • the roads authorities politely ignoring the 1998 call to manage car use and to promote public over private transport. • There is an ingrained car-oriented design bias of the past 40 years.

  24. 4.4 The WIN-WIN-WIN (3WIN) Strategy cont’ • The 3WIN strategy outlines a roadmap for public transport for the period 2007-2020, based as a number of “critical building blocks”. Key elements of these building blocks include the following: • the establishment of transport authorities • implementing city-wide public transport networks • operating services 16 to 24 hours a day, 7 days a week

  25. 4.4 The WIN-WIN-WIN (3WIN) Strategy cont’ • introducing a “gross cost” contracting system which allows for through-ticketing • including the minibus-taxi industry in the gross-cost contract system • improving marketing, maps, timetables and image-building • doubling the financial assistance to public transport from its existing R5 billion to R10 billion.

  26. 4.4 The WIN-WIN-WIN (3WIN) Strategy cont’ • All of these steps need to be underpinned by strong local public sector network control and management concedes is “relatively weak” at present. • The 3WIN document also devotes a section to the introduction of Bus Rapid Transit (BRT), drawing on the favourable experience of Latin America and East Asian cities.

  27. 4.5 Conclusion • Emphasis will now be placed on a more coordinated approach towards the planning and provision of public transport within the framework of an integrated land-use and transportation policy.

  28. 4.5 Conclusion cont’ • The focus of responsibility shifts towards the proposed Transport Authorities (TAs) who will, in conjunction with: • law enforcement agencies, • provincial permit boards, • taxi registrars and others, • ensure that public passenger transport is provided in a manner consistent with the objectives of the White Paper

  29. 4.5 Conclusion cont’ • Emphasis is also placed on the new principle of: • operating licences, • contracts and • concessions, (but mainly contracts), • in terms of which the different operators of passenger transport will provide their services.

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