TRANSPORT Minister Barbara Creecy confirmed in response to a written parliamentary question from BOSA Leader Mmusi Maimane that the government will continue disbursing Covid-19 relief funds to the taxi industry throughout the 2025/26 financial year.

Approximately R480 million has been allocated in the current budget to facilitate the final disbursement of Covid-19 relief funds, five years after the peak of the pandemic.

Creecy said the Cabinet approved a once-off relief fund to the value of R1.135 billion in 2021, which was intended to mitigate the negative impact of Covid-19 on the taxi industry.

“Due to a number of challenges in the taxi industry, not all operators managed to access the relief fund. As of March 2023, approximately 56,623 qualifying operating licenses on the system were still unpaid.

“Cabinet approved an extension on August 31, 2023, to allow that an amount of R708 million, which was the balance on March 31, 2023, be paid out to outstanding taxi operators.

“In this regard, an amount of R300 million was allocated in the 2024/25 financial year, and the balance of R408 million has been allocated in the 2025/26 financial year to allow for the conclusion of the disbursement,” she explained in her response.

In a statement, BOSA condemned the decision, saying it is unacceptable that public funds were used for a sector without clear transparency, accountability, or evidence of need, especially as essential public services like education and healthcare remain underfunded.

The party argued that there was no need to pay funds to a multibillion-rand industry that pays almost no tax.

To qualify for taxi relief funding as an operator, Creecy said, you need to be:

• Be a South African citizen or permanent resident in the Republic.

• Have a valid operating license or receipt as proof of application for renewal of an operating license.

• Be registered for income tax with the South African Revenue Services (SARS).

Meanwhile, Parliament is currently preparing to finalise the national budget in the coming weeks, and factional battles within the Government of National Unity (GNU) are delaying progress.

The court proceeding against the 0.5% VAT hike is underway at the Western Cape High Court. The Democratic Alliance (DA) and Economic Freedom Fighters (EFF) members are attending the hearing.

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