KZN SANTACO today held a meeting with Premier Sihle Zikalala who was accompanied by the MEC for Transport, Community Safety and Liaison Ms Neliswa Peggy Nkonyeni and MEC for Economic Development, Tourism and Environmental Affairs Ravi Pillay to discuss measures to reduce the impact of the ongoing petrol hikes on taxi operations.

At the meeting SANTACO explained its decision not to participate in the proposed national shutdown is informed by the understanding that the province could not afford to experience another disruption in the provincial economy.

“The Province has undergone the crippling challenges caused by the Covid-19 pandemic, last year's July unrest and the recent recurring floods. As a responsible industry we opted to engage government and ask for intervention on the challenges of the fuel hikes which is also impacting negatively on the taxi industry and its entire value chain” said KZN SANTACO Chair Boy Zondi.”

KZN SANTACO said the above-mentioned challenges including the ongoing petrol hikes had a major impact on their taxi operations and resulted in many of their members having their taxis repossessed. The ongoing petrol hikes were making the taxi business less profitable and had the potential knock-on effect on commuters amidst rising food prices and the general cost of living.

Premier Zikalala welcomed the decision by the taxi industry. We understand the concerns of the fuel hikes and soaring food prizes which affect the taxi industry and consumers. As the Provincial Government we will make a formal submission to the Ministers of Finance, Transport and Mineral Resources and Energy to explore all avenues to reduce the burdensome fuel cost, and to look into producing enough energy through diversified options.

Premier Zikalala said government would engage Ithala Bank, which is one of the State-Owned Companies, to design financing packages specifically for the taxi industry at reasonable rates without compromising the viability of the bank.

"We are also very much committed to assisting the taxi industry to diversify into other sectors as part of Township and Rural Economic development. We will look at available government land and old unused buildings to facilitate the start workshops, tyre-fitment centers, fuel service stations which will be run by members of the taxi industry,” said Zikalala.

Premier Sihle Zikalala also commended the Justice, Crime Prevention and Security Cluster, for their sterling role in maintaining peace and stability. We also urge all the people of KwaZulu-Natal to support the rebuilding efforts and to continue to desist from participating in any actions that will reverse the economic recovery we are making which should lead to job creation.”