Transport Cabinet Secretary James Macharia on Tuesday told Members of the National Assembly of the ministry’s plan to regulate fares.
In a presentation made in parliament on behalf of the CS by his CAS Chris Obure, the CS noted that the action is aimed at protecting the public against exploitation by Public Service Vehicles (PSVs).
He noted that they have already drafted amendments to the Traffic Act and the National Transport and Safety Authority (NTSA) Act that seeks to control fares charged by PSVs across the country.
Obure further revealed that the proposals are at an advanced stage with the legal department in the ministry and will soon be presented to the Cabinet for adoption before being tabled in Parliament.
The ministry seeks to amend Section 110(1) of the Traffic Act by introducing a new sub-section that will allow the CS to regulate PSV fare tariffs.
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Upon the amendment taking effect, the CS will have legal mandate to determine the formulae for establishing the tariff, review mechanism of the tariff and penalty for non-compliance.
Obure noted that the ministry also intends to have an amendment of section 4(2) of the NTSA by introducing a new sub-section that will allow for establishment of PSV fare tariffs.
The CAS told MPs: “The amendments will ensure effective regulation of fare tariffs by the authority similar to the regulation of petroleum process by the Energy Regulatory Commission.”
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