Govt, transport owners disagree on payment e-card deadline

Matatu, Kenya

Matatu, Kenya

from MARIA MACHARIA in Nairobi, Kenya
NAIROBI – KENYA transport operators and the government appear headed for a collision course following sharp disagreements over the directive compelling public transport operators adopt a cashless payment technology.

The heightened tensions between government and taxi operators came on Monday deadline (December 1), in which one of the country’s leading commercial banks, Kenya Commercial Bank (KCB) launched a new cashless fare payment card at the Nairobi Central Business District (CBD).

As such, passengers would be required to pay their fares using cashless transaction technology as opposed to the usual payment method using cash.

The government, through the National Transport Safety Authority (NTSA) issued a directive requiring PSV operators to implement the system bu transport owners comprising Matatu Owners Association and Matatu Welfare Association vehemently dismissed the projected launch as “impractical” as most of its members were not well versed with the new technology.

Chairman of the Matatu Welfare Association, Dickson Mbugua, said some PSV users and operators were not conversant with the system and required more time to acquaint themselves with the system.

Mbugua also complained that stakeholders in the transport network were not consulted before the deadline.

“There have been no serious consultations with investors, commuters and relevant stakeholders to discuss exhaustively the implications of the cashless system,” Mbugua said.

Earlier on, government representative in the ministry of transport, Engineer Michael Kamau, was set to deliver the keynote address at the Kenya Commercial Bank.

The new technology, said to be the first of its kind in Africa, would reduce cases of cash robbery, theft and loss of money as the passenger would carry their cashless cards.

– CAJ News








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Posted by on Dec 1 2014. Filed under Featured, Finance, Finance & Banking. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry

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