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Mozambique Government Pays €1.7M in Subsidies to Transport Operators

Mozambique Government Pays €1.7M in Subsidies to Transport Operators

The Mozambican government paid €1.7 million in subsidies to 227 public transport operators between May and June, in a measure designed to offset rising fuel costs and prevent fare increases for passengers.

According to Luís Chaúque, spokesperson for the Ministry of Transport and Logistics, the amount represented the first round of subsidy payments to public transport operators, as reported by Lusa.

The measure was adopted after the price of diesel rose 45.5% and petrol 12.1% on 7 May — increases that threatened to trigger higher fares across public transport services, including the semi-collective minibus taxis widely known as ‘chapas’.

Chaúque acknowledged that some operators had yet to receive their allocated payments, adding that those cases were being reviewed individually. ‘In this process, there have been one or two operators who did not receive payment. These situations are being analysed case by case to understand what happened and to proceed with the respective payment,’ he said, as quoted by local media.

The spokesperson also noted that the number of registered transport operators continued to grow as new licences were issued. According to the latest update from the Mozambican Federation of Road Transport Associations, 1,047 new operators were registered between May and June.

Chaúque acknowledged delays in completing the process, which had advanced to a second round of payments, but assured that the government was finalising the necessary procedures. ‘This process is under way and our expectation is that it will conclude by Friday the 17th, with payment to all registered operators,’ he said.

The subsidy provides the equivalent of approximately €491 to semi-collective passenger transport operators and up to €1,953 to operators of conventional and articulated buses. In its initial phase, the measure covers operators licensed in provincial capitals and the greater Maputo metropolitan area, under the terms of an agreement reached between the Ministry of Transport and Logistics and the transport federation.

The subsidy scheme was introduced in response to fuel supply difficulties recorded in April and May, a period marked by the closure of filling stations, long queues, restrictions on petrol and diesel purchases, and a reduced supply of public transport. The government attributed the situation to the effects of the Middle East conflict on fuel supply chains.

Source: Diário Económico

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