When governments implement fuel price reductions as part of economic intervention measures, public transport operators may call off planned strikes, as demonstrated when Kenya's President William Ruto announced a 10 shilling per liter diesel price reduction for June-July, leading transport operators to suspend their nationwide strike after negotiations.
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Transport operators call off strike after diesel price reduction dealHinzugefügt:
Public transport operators have officially called off their planned nationwide strike following crisis talks with President William R. The strike had initially been suspended for 7 days to allow negotiations over the rising cost of fuel in the country. As part of measures aimed at cushioning consumers and businesses from the impact of soaring global oil prices, President R announced the diesel prices will be reduced by a further 10 shillings per liter in the June July fuel price review. Sarfina Chiang now reports on the president's latest pledge to the transport sector.
>> Three days after the suspension of the planned public transport sector strike over soaring fuel prices, operators returned to the negotiating table.
Addressing the nation from state house in Mombasa on Friday morning after lengthy talks with transport sector leaders, President R announced a projected reduction of diesel prices as part of ongoing government measures to cushion Kenyans from the impact of the global fuel crisis.
>> We are going to further reduce the price of diesel by a further 10 shillings for the June July cycle. The head of state dangled fresh incentives before the transport sector operators aimed at enhancing sustainability of the industry. R directed the Ministry of Transport to engage financial institutions to consider temporary reliefs on lending terms to cushion operators servicing loans during these hard times and reforms in the insurance sector. I have further directed that an immediate review of both the insurance act and the auctioneers act be undertaken to conclude within the next 3 months in order to establish a more responsive and fair framework for players within the sector.
Further R promised duty-free importation of the first 100,000 electric vehicles to offer alternative solutions review of regulations of digital taxes as he also questioned the motive behind the order barring matus from operating with graffiti and artistic branding. I have also directed the NTSA to facilitate an environment for MAT operators to continue utilizing artwork and graffiti on their vehicles in a manner that upholds safety and respect for other road users. After these good deliberations we have had with his excellency, we are saying that the strike that we had suspended has been called off.
>> The announcement however did not sit well with a section of operators who felt that the meeting did not address the pressing issues.
>> Those issues also needed attention but they were not as urgent as the file crisis. We really hope that the government will have done more than it has done uh by even suspending some of the issues and some some of the taxes that are affecting the oil prices.
>> Some of the operators are considering increasing fairs in a bit to cope with the harsh economic conditions.
>> The ideal situation is to review the fairs upwards. But at the same time, we are looking at when we raise these fairs upwards, who are we raising it for? The people that we raise it for, are they able to pay for this?
A section of commuters also criticized the government, accusing it of sidelining their concerns during the talks.
42.
Next month is very high.
The strike is off for now, but with a section of operators tming this a road deal. The desperate times may force them to resort to desperate measures. A move that may have adverse impacts for commuters across the country. Safina Chinga reporting for Citizen TV from Machakos country bus in Nairobi.
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