Taxi associations in Gauteng can now own businesses which service their fleets at ranks

Provincial government begins converting taxi ranks into business hubs

Gauteng MEC for economic development Tasneem Motara briefs the media on her budget vote which has been tabled before the provincial legislature. Among the programmes initiated is the taxi economy zone where taxi ranks are converted into business hubs.
Gauteng MEC for economic development Tasneem Motara briefs the media on her budget vote which has been tabled before the provincial legislature. Among the programmes initiated is the taxi economy zone where taxi ranks are converted into business hubs.
Image: Supplied

The Gauteng government has started implementing its initiative to convert taxi ranks into thriving economic spaces by allowing owners of vehicles to play a role in the servicing and fuelling of their fleets. 

This was revealed by Gauteng economic development MEC Tasneem Motara during a post-budget briefing in the provincial legislature on Wednesday. 

Motara told journalists that three taxi economy zones have been developed:

  • Mabopane taxi fuel retail hub;
  • Soshanguve taxifuel depot; and
  • Eersterust taxi retail hub. 

She said the taxi economic zones incorporate retail, maintenance of taxis, parts supply and financial services. 

“These will be owned by taxi associations. You are not going to see a big chain supermarket but one that is owned by the taxi association. For example, the one in Soshanguve has a fuel depot which is for the taxi economy, with the taxis as the main target, but they can service the outside community,” Motara said. 

“The services created at the taxi rank are dependent on that space.

“We are speaking to other partners in this space that could be linked to parts supply and services such as motor mechanics.

“The aim is to create a single hub which is a one-stop shop for taxis. The idea is that if the taxi is not on the road, the taxi owners lose an income, then what is the quickest way to ensure that their vehicles are serviced quickly? 

“The services provided at the rank differ from space to space, depending on the amount of space available and the zoning factor in that space.”

The taxi economic zones concept uses funding from various provincial agencies to set up partnerships with the industry and private partners in retail, fuel and car parts supply, she said.

Motara presented her budget for the 2023/2024 financial year on Tuesday. The department of economic development has been allocated R5.3bn over the next three years. 

Among the department's priorities for this financial year is to improve the growth of small businesses, particularly those in the townships, and create jobs. 

The department has set a target of creating 69,000 jobs in the 2023/2024 financial year.

Already 3,000 township shops have been refurbished. 

Furthermore, two distribution centres have been set up to supply township spaza shops in Mamelodi and Thokoza. 

Forty-five loans have been approved for a back room upgrade project at a cost of R50m. In this initiative, the government helps people in townships who have back rooms to upgrade these to leverage on the price of their properties. 

The Gauteng department of economic development has set a target of collecting R3.9bn over the next three years. About 95% of this revenue will come from casino taxes, with 6% from liquor licences. 

TimesLIVE


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