The government of Rwanda has decided to replace ONATRACOM with a new Transport Agency expected to start operations within six months. The decision follows the failure of ONATRACOM to manage public transport which resulted in the closure of the company.
The cabinet meeting convened on Wednesday confirmed the draft law replacing the National Public Transport Authority (ONATRACOM) with a new transport agency where the government will partner with private investors in public transport.
The government will co-own the new agency with Rwanda Federation of Transport Cooperatives (RFTC) which will have a share of 52% leaving 48% stakes for the government.
During a talk show held on KFM radio, Dr.Alexis Nzahabwanimana, the State Minister for Ttransport in the Ministry of Infrastructure, said that passengers using ONATRACOM didn’t benefit much from the old facility. Talking about the partnership with RFTC, he revealed the plan to extend transport services to areas in which ONATRACOM has operated as well as remaining parts of the country which are not served with public transport.
ONATRACOM closed due to grave mismanagement, debts from various institutions among other causes, which saw only 46 buses out of a fleet of 160 buses being operational at the time of closure.
Dr. Nzahabwanimana says anticipated transport agency which has not yet got a name, will bring transformations. Over Rwf 11.5 billion will be invested in the project.
“We expect to use 163 buses at the beginning .These include big 85 buses and other 50 mini-buses.”
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