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Fuel subsidy for vehicles providing public transport services in Addis Ababa.

The Addis Ababa City Transport Bureau announced that it will provide fuel subsidies to public transport vehicles to provide better transportation services to the public at an affordable price.

In addition to the subsidy system that will be implemented from July 1, 2014, the installation of GPS on vehicles will also provide an opportunity to streamline the transmission of technology by connecting the transmission lines.

Addis Ababa City Administration Transport Bureau has discussed with stakeholders on the draft guideline for fuel price adjustment and targeted subsidy implementation.

The fuel subsidy will apply to low- and medium-sized public transport vehicles based on tariffs and outreach services to low-income groups.

This includes public and private buses, both Code 1 and Code 3 minibuses (registered in Addis Ababa) that provide public transportation between cities and towns.

According to the bureau, vehicles provided by public service, private and non-governmental organizations, and private schools are not included in this targeted subsidy.

Elazar Yirdaw, Director of Public Transportation and Distribution Operator Licensing at the Transport Bureau, said the draft directive would allow the current fuel price subsidy to be restored and return to the previous stabilization fund management system.

He said GPS registration of vehicles registered with the subsidy system is mandatory by April 30, 2014. The director said that until May 30, 2014, the registration of vehicles will be done in the database.

He urged the public to submit all information on public transport to the bureau within ten days.

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