Subsidizing public transport will ease congestion

The government is considering a tax waiver on public transport as a means of facilitating its growth and operations. By reducing the taxes, government will help to spur investments in commuter tax transport and help reduce the shortage of public service vehicles.

Sunday, September 02, 2012

The government is considering a tax waiver on public transport as a means of facilitating its growth and operations. By reducing the taxes, government will help to spur investments in commuter tax transport and help reduce the shortage of public service vehicles.Traditionally, public transport was spear headed by government, but with liberalisation of the economy, the private sector moved in to invest in the sector. However, being majorly profit oriented, the private transporters have concentrated on areas that make more revenues leaving a number of passengers stranded or having to pay high transport fares to get around. The move to reduce taxes will spur investment and help reduce the shortage.