Kenyan commuters may soon benefit from regulated public service vehicle (PSV) fares if Parliament passes a new bill empowering the National Transport and Safety Authority (NTSA) to oversee fare setting.

The National Transport and Safety Authority (Amendment) Bill, 2023, currently under debate, proposes to establish a legal framework for determining minimum and maximum fares across the country.

Key Provisions of the Bill

  • Empowers the Cabinet Secretary for Transport, in consultation with NTSA, to prescribe fare limits for PSVs.
  • Introduces periodic fare reviews to ensure fairness for both passengers and operators.
  • Requires PSV operators to prominently display fare tables and timetables.
  • Gives NTSA authority to validate and approve fares and to investigate complaints about unauthorized charges.

Currently, Kenya's largely informal matatu sector operates without government oversight on fares, leading to sudden and often unfair price increases during peak times, bad weather, festive seasons, or fuel price hikes. Notably, fare reductions rarely follow fuel price drops.

Kimilili MP Didmus Barasa, who sponsored the bill, emphasized the need for regulation to prevent operators from charging arbitrary amounts. He highlighted that many African countries, including Tanzania, Rwanda, Ghana, and Nigeria, as well as nations like Germany and Fiji, have established fare controls in public transport.

Supporters such as Tigania West MP John Mutunga argue the bill is vital to protect commuters from exploitative fare adjustments and to bring Kenya in line with international best practices.

Industry and Government Concerns

The Matatu Owners Association cautions that fare caps without accompanying government support could strain operators, given rising costs of fuel, insurance, spare parts, and taxes. The Ministry of Transport also stresses the importance of conducting thorough economic and operational studies to maintain route viability and service sustainability.

If enacted, this legislation would mark one of the most significant reforms in Kenya’s public transport system in decades, following previous unsuccessful attempts to regulate matatu fares.