Fowzie says:
 

Won't burden passengers

Transport Minister A.H.M Fowzie said the Government will not be scared by the threats of bus owners to launch wildcat strikes.

They must act responsibly and up keep promises.

In an interview with the Sunday Observer staffer Jayantha Sri Nissanka, Minister Fowzie said that he gave a 16 percent fare hike last time and bus owners promised not to ask for more till June 2007. The Minister promised the commuters that bus fares will not be increased and he will not let bus owners exploit the pockets of passengers taking advantage of the fuel hike.

Following are excerpts of the interview:

Q: Bus owners are threatening to launch wildcat strikes if the Government does not permit them to increase bus fares due to the increase in the diesel price. What is the Government's position regarding the issue?

A: The bus owners have the right to issue threats. But nothing will happen because I am not scared to fight on behalf of the people. We gave them a 16 percent fare increase on the understanding that they will not ask further increases even though oil prices go up continuously. So they have to keep to that promise.

They have to wait till June 2007 to ask for an increase according to the agreement we reached. Until such time, no increase will be granted by the Government. We will assure commuters that they will not suffer as a result of the escalation of oil price hikes in the world market.

We are compelled to increase fuel prices as the Ceylon Petroleum Corporation suffers a Rs.1.5 billion loss every month.

Q: They blame you for not keeping to promises as agreed at the last meeting. Why is your Ministry delaying to fulfil those promises?

A: I have already taken measures to address their problems. I have spoken to the Provincial Councils and the Transport Authority to solve their administrative problems. Fines increased by the Transport Authority and Provincial Councils are little unreasonable for bus owners.

I have instructed the Police to nab gangsters who carry out extortions at various bus stands. I have met Provincial Council Ministers and Chief Ministers, Transport Authority officials, Secretary to the Finance Ministry to discuss the private bus owners' problems.

In addition, we appointed a Committee with the Secretary of Finance Ministry to study their problems and grant them relief. But it is a totally different matter which has nothing to do with fuel prices. We have already compensated them by an increase of a 16 percent hike last time. Just because these decisions are pending, bus owners can't ask for another fare hike.

Q: Actually who extorts money from buses?

A: There are organised gangs in various bus stands to get kappam. We have already taken up the matter with the Police and had requested to send decoys to nab them. In certain instances, we were able to catch them. But Police decoys are not always there to arrest extortionists. Since these things are not the usual duties of the Police, someone has to follow up this operation. Otherwise nothing will happen.

Q: What is the understanding you reached with bus owners at the last fare hike meeting?

A: Before the last fare increase, I had a number of discussions with bus owners without telling them there will be a fuel hike. We discussed what to do if there is any fare hike as well as other problems.

They came out with many proposals, but some of their proposals were not feasible. For instance removing VAT on buses. I found that proposal was not viable because only a few persons will benefit from the Rs.300,000 VAT removal and not the majority of exiting bus owners.

Then I thought of removing the VAT on leasing instalments. There also, I found that all bus owners are not paying lease. When I started to remove the VAT on insurance, I found it is only a small amount and owners will not benefit much.

Q: Are you giving excuses? How will you address their issues practically?

A: Now I am planning to help them buy new buses at nominal interest rates to improve the bus fleet. Then people can also travel more comfortably. But it is difficult to grant them concessions on tyres, tubes and batteries, unless they form companies. But some Provincial Councils are not happy about this proposal, fearing that they will lose their income.

Therefore, I have appointed a Committee to study this matter and plan to introduce one statute to govern the country's transport system. Different statutes in the Central Government and Provincial Councils have complicated the management of the Transport system. For example, one Provincial Council has imposed a fine of Rs.38,500 for not renewing the licence. I am inquiring whether this is true or not. All these administrative issues should be handled by one administration.

The President of the Bus Owners Association told me that when the Secretary of the Finance Ministry calls a meeting to address their problems, Provincial Council Ministers do not attend these meetings. This is how they manage their affairs. They should actually propose alternatives of generating income for Councils without depending on bus operators.

Q: With the escalation of oil prices, how confident are you of keeping the bus fares static?

A: Actually it is very difficult. But I can't just pass that burden to commuters always. It is the responsibility of a responsible Government to find alternatives. Otherwise, people don't need a Transport Ministry. I have already given a Rs 3 fare hike and they can't ask for another increase again.

Q: Do you think that politics operate behind all these protests?

A: A group of bus owners has direct links with the UNP.

Q: How can the National Policy on fare hike operate under these circumstances?

A: According to it we annually grant them increases except under special circumstances.

Q: Some bus owners complain that they are running at a loss. Is there any truth in what they say?

A: Some bus owners do not get a proper income since drivers and conductors are swindling money. So, the bus owners need to have a check on them and it is not the fault of the Government.

There is one clause in the Transport Act that the Provincial Councils should implement. According to the Clause, passengers must possess a ticket.

Otherwise they can be charged. If conductors do not give them a ticket, they must demand a ticket. The commuters have the right to complain to the Police.

Today, even if a conductor is sacked due to financial misappropriation, another bus owner will employ him. He is not losing his job. Therefore, if bus owners form companies, such conductors and drivers will not be re-employed. In addition, bus staff will become a more disciplined crew and commuters will benefit.

Q: How will the bus crews benefit after forming companies?

A: Bus crews will be placed on a proper salary scale and they will be made permanent workers. They will get EPF, ETF and all other facilities granted under the Labour Laws. Bus companies will be governed under the Company Act.

Bus owners will have a dedicated disciplined, professional staff and commuters will not be harassed. Commuters will be treated courteously. Fifty bus owners can form a company to run their buses.

Q: What is the new fuel you plan to introduce to three-wheelers?

A: That is Octane 85. This fuel can be used for three-wheelers at a lower price than petrol. Then they will have to reduce the fare as a result. We can't use this fuel for cars because cars require Octane 90 or 95 petrol.