Matatu owners, motorists' association differ on planned strike

Business
By Sharon Wanga | Jul 26, 2024
Matatu Owners Association chairman Albert Karakacha (center) addressing the media in Nairobi on 4th July 2024.(Collins Oduor, Standard)

Confusion has hit the transport sector, after the Matatu Owners Association (MOA) distanced itself from the planned strike by the Motorists Association of Kenya(MAK).

MOA on Friday said they are in discussions with the government to identify solutions within three weeks on various issues affecting the sector, including the controversial Road Maintenance Levy (RML).

Yesterday, Motorists Association of Kenya clarified reports on calling off their planned go-slow, confirming that the action begins today, Friday.

In a statement, Chairperson Peter Murima dismissed claims of meetings with the government.

"Starting tomorrow, we will officially begin our 21-day action plan, with every Friday designated as a go-slow day. After the 21 days of go-slow, we will officially strike nationwide," Murima said.

The association emphasised that those who reportedly met with the government are not members, but individuals with "self-interest."

"As the bona fide stakeholders directly affected by the grievances highlighted, we have not held any discussions with the government. Contrary to reports, we have not been invited to any meetings," he explained.

"The individuals or organisations attending these meetings are self-serving and do not represent our interests."

The transporters called for the Friday strike after the government increased the Road Maintenance Levy (fuel levy) by Sh7, from Sh18 to Sh25 per liter of petrol and diesel. This increase followed the Energy and Petroleum Regulatory Authority's review of fuel prices for the next month from July 15.

"There was no public participation, but on July 14, 2024, we were shocked to see that the maintenance levy had been increased, yet former Transport CS Murkomen had promised there would be no increase," Murima said at a past event.

Transport stakeholders questioned why the tax increase was implemented despite the withdrawal of the Finance Bill 2024.

The Association chairperson urged stakeholders to remain united as they begin their strike and to seek the right channels to address their concerns.

Additional Reporting by James Wanzala.

Share this story
Africa's venture capital shift is quiet, but transformative
The era of equity-only funding is giving way to a more diverse funding landscape that includes venture debt, revenue-based financing, and hybrid debt-equity structures.
Why modern tech is key to fixing insurance gaps
When minor disruptions strike an uninsured or underinsured household, the economic ripple effect is immediate.
Engineers challenged on road designs
Engineers have been urged to design and build roads that address challenges brought about by the effects of climate change, including floods and drainage.
Make-or-break in Ruto's Sh143b housing budget
Despite billions from the housing levy and increased funding, Kenya remains far from President Ruto’s target of one million new homeowners.
Tax Bill rebellion: Why MPs have rejected Ruto's proposals
The National Assembly's Committee on Finance and National Planning has broken ranks with Presiden Ruto’s administration, systematically poking holes in a raft of aggressive tax measures. 
.
RECOMMENDED NEWS