“The more things change, the more they stay the same”

After a quarter of a century, it’s a case of the more things change, the more they stay the same for the bus industry, writes BAZIL GOVENDER.

As a South African, you may never experience a day without facing, reading, or hearing about the disruptive and often violent protests centred on the lack of service delivery for our country’s citizens.

The bus industry and, by extension, those we exist to serve – the paying commuters – are major contributors to the South African economy, providing access to, and connectivity through, mobility. But we have been failed by the government.

Some 25 years of static indecision and policy uncertainty have negatively impacted the development of a sustainable public transport network. This has resulted in direct and collateral damage to public transport infrastructure and sustainability, as well as sentiments regarding public transport.

The last quarter of a century has gone by with no clear indication of government intent, despite the enactment of the National Land Transport Act (NLTA) and various white papers and policy discussions, as well as the formalisation of the National Public Transport Regulator (NPTR) and the Provincial Regulatory Entities (PREs).

Fundamental economic and political macro-challenges brought about by the growth of the taxi industry – concurrent with the demise of the Passenger Rail Agency of South Africa (PRASA) and the rail network and services – have proven to be major stumbling blocks in the crafting of a sustainable public transport system. Unfortunately, in attempting to deal with these integration challenges, government seems to have almost forgotten about a consistent, reliable, and world-class sector – the bus and coach industry.

Nevertheless, the industry has demonstrated the will to survive and provide daily access to, and availability for, a safe and compliant service encompassing local, urban, rural, scholar, and inter-city travel. This has been achieved through agility, entrepreneurship, and collaboration, despite the challenges posed by the global pandemic over the last two years.

SABOA, which has been in existence for over three decades, has also evolved through this period to position itself as widely representative of all of the sectors within the bus and coach industry. The principal membership base comprises the following sub-sectors nationally:

• Contracted provincial commuter bus transport
• Private (corporate) bus services
• Municipal bus services
• Scholar bus services
• BRT services
• Long-distance interprovincial services
• Tour and charter services
• Cross-border services

The association itself has not been immune to the impacts of the ongoing policy uncertainty and the pandemic. But, thanks to the support our loyal and committed membership – both the principal operators and the associate partners – we are able to continue rendering our services as a representative association.

As an entry editorial to the industry’s challenges, I place on record my honour to be in a position to lead the Secretariat for SABOA on behalf of the industry and I thank the members for the confidence they have vested in me to do so.

The period of policy uncertainty and the lack of progress towards a sustainable public transport system has impacted progress on many social imperatives, while at the same time creating unintended consequences, which the industry and its stakeholders need to remain resolute in resolving. Amongst others, the main issues are:

TRANSFORMATION OF THE INDUSTRY

• Delayed/deferred transformation of the industry along a sustainable demographic, generational, and gender basis.
• Ongoing mistrust around the ideological differences of the various sub-sectors operating within the bus industry.
• Barriers to entry for emerging and SMME bus and coach operators. Those that break the entry level are also restricted in growth, thus restricting access to market share and competition.

POLITICAL WILL AND IMPLEMENTATION

• The development and retention of requisite skills and competencies, at various tiers of government, to ensure continuity for public transport engagement.
• Alongside this, the delayed formalisation of transport or contracting authorities.
• The resultant inconsistent and indifferent approaches to policy implementation for integrated transport.
• Regime changes from ministerial level – together with the provincial and municipal governments – change at different cycles as the political agenda also gets reprioritised. This is not conducive nor contributory; current coalition government scenarios do not lend themselves towards a situation where public transport is a high priority investment.

FUNDING

• The funding challenges that prevent the successful crafting and implementation of Integrated Transport Plans (ITPs).
• The current dilemma of the transition of contracted services and other sectoral services within the ITPs.
• The ongoing multi-tiered transport system, with new and existing BRT services running alongside and servicing the same corridors as existing bus and taxi services.
• The current under-funding shortfall, which prevents capital expenditure commitments and inhibits innovation and technological advancements.

VIOLENCE AND DISRUPTIONS

• Escalating levels of violence, intimidation, and destruction of assets within the industry.
• Ongoing random and coordinated acts of criminality, which make public transport safety tenuous for those commuters who have no other options.

LITIGATION

• The basket of issues above and the ongoing negative findings and reports by the Competition Commission and Auditor General (and, of late, the Public Protector), combined with the government’s misaligned approach to policy implementation, has led to a series of litigations against the Provincial and National Departments of Transport.
• The recent interdict against and setting aside of the Gauteng Province Scholar Transport Tender has disrupted scholar transport services.
• The Bus Industry Restructuring Fund (BIRF) and SABOA matter against the Gauteng Government – on which judgement is pending – will have major implications for the certainty on the way forward in the Public Transport Operating Grant (PTOG) contracted services environment, as well as many other public transport-related legislative implementations.
• Similarly, the matter between operators and the provincial government in KwaZulu-Natal will have a bearing on the interpretations of negotiated contracts.
• The ever-present disputes arising out of affectedness and ownership of the BRTs also always inevitably end up being decided in the courts.

RISK AND INSURANCE

• The escalating levels of public disorder, crime, and the destruction of assets have led to an extraordinary increase in SASRIA premiums, as well as many SASRIA claim rejections.
• Differentiated product packaging will be more strategic in the period ahead to allow the industry to get premium risk and insurance cover at the best rates.

As can be seen, this cocktail of opposing agendas and priorities warrants high level, detailed attention from the authorities and all stakeholders, as opposed to the current fragmented approach. This is an industry that is doing what government pays it to do, yet is not receiving the required support to evolve and transform sustainably.

SABOA has fostered many alliances and collaborations that enable parties to come together, facilitating easier alignment towards common issues with the authorities. Some of the key collaborations are:

CBBASA: Cross Border Bus Association of South Africa (SABOA is the current chair of this entity)

SANSBOC: South African Small Bus Operating Council

TBCSA: Tourism Business Council of South Africa

Transport SIG: Transport Forum Special Interests Group

SABOA also has many internal platforms and structures that allow for membership engagement and strategic discussions. These are:

PECs: Provincial Executive Structures meeting to discuss and engage on provincial matters.

OPERATIONS COMMITTEE: A meeting of the industry operations network and stakeholders.

TECHNICAL COMMITTEE: A meeting of industry technical experts and allied stakeholders.

ASSOCIATE MEMBERS FORUM: A meeting of the associate partners of SABOA who also service the industry from a wider value chain.

SABOA EXCO AND COUNCIL: The national decision-making and governance structures of SABOA.

No association claiming to be representative can achieve its goals without transparent and consistent communications.

SABOA prides itself on being the credible voice of the bus and coach industry and we are extremely proud to announce that our alliance and partnership with FOCUS brings us onboard with a credible publication that will enhance our communication and broaden our respective and collaborative service offerings to the industry.

We look forward to contributing to the discourse around public transport and the bus industry’s role and will contribute via the monthly FOCUS magazine, thereby building on the presence of FOCUS within the transport and logistics industry.

So, when next the debate on what is happening with our public transport systems enters your personal space, ask not what the government has done for you in the last 25 years, but what you can do to contribute positively to the debate and how your voice adds to the voice of the bus and coach industry.

Contact SABOA for enquiries around membership and membership benefits (including access to FOCUS).

Contact Details:

www.saboa.co.za

Telephone: 011 511 7641

General enquiries: saboa@saboa.co.za

Membership: rika@saboa.co.za