A showdown is looming between the government and the Namibia Transport and Taxi Union (NTTU) after the Ministry of Transport said it has not received any request for a review of taxi fares.
The taxi union recently announced a planned 40% hike in the taxi fare, from N$13 to N$19, citing the steep increase in the fuel price.
However, Jonas Sheelongo, the Deputy Executive Director in the Ministry of Transport, told The Brief that his ministry was not aware of such moves.
“If they have such a plan, we are yet to receive it. The procedures are there and all the unions and associations know what to do. Once they lodge an application with us we do the necessary assessment, rather we commission the road transport board to do the necessary investigation and depending on the outcome, they make a recommendation to the ministry,” he said.
“But as of now we have not received anything, so can’t act on anything.”
Commenting on the timeframes needed to make a decision when an application is received, Sheelongo said, “Making a decision varies from two weeks to a month. Depending on who needs to be consulted, go out and talk to the people. Depending on which section of transportation is requesting an increase, all that needs to be assessed.”
The Ministry of Transport Executive Director said the government has a scientific formula it uses when reviewing taxi prices in the country.
Motorists are already bracing for tough times ahead after the Ministry of Mines and Energy announced an expected huge fuel price increase for the month of April, with diesel recording the highest increase of N$2.95/litre and petrol going up by N$1.95/litre effective Wednesday, 6 April 2022.
The announced increase means that petrol and diesel prices will rise to N$19.10 and N$20.23 respectively. Both petrol and diesel prices have increased by about 51% and 60% in the last twelve months respectively.
Economic advisory firm Simonis Storm called on the government to scrap levies and taxes on fuel products to provide relief to motorists and only reinstate fuel taxes once global oil prices normalize.
Oil prices have jumped as Western allies imposed more sanctions on Russia and blocked some Russian banks from a global payments system, a development which has been attributed to severe disruption to its oil exports.
