BusinessNews

A hike in public transport fares, A spike in concern

Maseru, Lesotho’s bustling capital, relies heavily on its taxi industry for daily transport, serving commuters, workers, and students across urban and peri-urban routes. The Maseru Regional Taxi Operators (MRTO) recently announced a significant fare hike for local trips, raising rates from M13 to M17 – with adjustments having pushed implementation to May 11 amid ongoing consultations. This change, driven by escalating fuel costs and operational burdens, is set to reshape mobility and household budgets in a nation already grappling with economic pressures.

Taxi fares in Maseru have remained static for short local routes in 4+1 vehicles, despite global fuel volatility and local inflation. MRTO, representing operators in the capital region, first proposed increases in mid-2025, citing stagnant rates amid rising diesel prices, vehicle licensing fees and maintenance costs. After negotiations with the Road Transport Board, the hike was formalized: local fares jump to M17, while minibus fares will rise from M12.00 to M15.00. Bus and sprinter fares will be set at M10.00. The May 11 effective date allows final stamping of permits and public notice, delaying from earlier April announcements.

Operators like MRTO Chairperson Mokete Jonase highlight a perfect storm of expenses: fuel surcharges from imported diesel, government hikes in registration fees, and spare parts inflation tied to the rand’s fluctuations. A Department of Traffic consultant assessed viability, endorsing the adjustment under the Road Transport Act of 1981 to sustain the sector. Without it, Jonase warned, many routes could become unprofitable, risking service cuts in underserved areas like Qacha’s Nek extensions. Commuters face the brunt, but operators argue it’s essential for fleet survival – no fare review since 2023 has eroded margins.

The announcement has ignited backlash, with commuters decrying the “record hike” as unaffordable in Lesotho’s high-unemployment economy. In Maseru markets and bus stops, workers like daily labourers predict slashed trips, forcing walks or shared rides that compromise safety. Drivers suggested a modest rise as fairer, warning of economic ripple effects like reduced vendor sales. Social media buzzes with memes of “taxi pain,” and unions urge subsidies or fuel caps. MRTO’s Lebohang Moea calls for compliance, promising stamped vehicles to standardize enforcement.

For Maseru’s 500,000+ residents, the local surge means daily commutes almost double in cost, affecting low-wage earners. Students and informal traders, reliant on short hops, face barriers to education and markets, potentially widening urban-rural divides. Long-distance passengers to districts like Leribe or Mohale’s Hoek will add a lot more per 100km, straining remittances to rural families. Broader effects include inflation spillover to food prices, as suppliers pass on logistics costs, and possible black-market rides evading regulation.

This mirrors South African taxi trends, where alliances like the National Taxi Alliance eye similar hikes amid fuel spikes. In Lesotho, prior increases (e.g., 2021’s 10% to M9-M8.50) sparked protests, yet compliance followed. Critics push for electric minibuses or government-backed apps for dynamic pricing, but infrastructure lags. MRTO consultations with other districts signal potential nationwide alignment post-May 11.

As May 11 nears, expect tense standoffs at ranks if enforcement falters. Advocacy groups petition the Transport Ministry for phased rollouts or vouchers for vulnerable groups. Operators vow no reversals without relief, framing it as business survival. For Bloemfontein-linked cross-border commuters, this compounds SA-Lesotho fare pressures amid migration tensions. Ultimately, the hike underscores Lesotho’s transport vulnerability, urging policy fixes beyond blame.