Taxi travel to cost more

The Department of Transport Management has recommended taxi fare hike taxi by 15.62 per cent to the Ministry for Physical Infrastructure and Transport.

The current taxi fare is Rs 32 per km and with the implementation of the proposed hike, commuters will have to pay Rs 5 extra for every km they travel.
“The department has proposed Rs 37 per km,” said technical director at the department Sarad Adhikari. “The hike is based on inflation and growing (vehicle) maintenance expenses,” he said, adding that the department has submitted the proposal last week. “The ministry will take a decision soon.”
According to the department, taxi fare hike was proposed based on the recommendation made by a three-member technical team headed by Adhikari.
“We have analysed three major components — inflation, fuel price and wages of taxi drivers — while reviewing the taxi fares,” he added.
The taxi operators too have long been demanding that the government increase the taxi fares.
The department has proposed that the flag down rate should be Rs 14, instead of current Rs 10. Flag down rate is the charge that appears on the digital screen the moment a passenger gets into taxi. Though taxi fare was hiked by 8.19 per cent, taking it to Rs 32 per km, in March 2012, the flag down rate has not been increased since 2008. Last year petrol used to cost Rs 116 per litre, now it has increased to Rs 123 per litre.
Out of 15,000 taxis plying across the country, 80 per cent are in the Kathmandu Valley and Pokhara and rest in other cities of the country.

Transporters threaten to halt public transport

Transport entrepreneurs and workers have threatened to halt public transport across the country from Friday. They urged the government to fulfill their demands by Thursday or face nationwide protests in a programme held at Reporters’ Club today.

“We have taken this decision as the government has ignored our demands,” said president of Nepal Transport Entrepreneurs National Federation Yogendra Nath Karmacharya

According to him, transport entrepreneurs and workers have decided to take this drastic step because the government has ignored their requests from time to time. “We had submitted our demands to the Ministry of Labour and Transport Management, and Department of Transport Management on a number of occasions but our demands were not fulfilled,” he said, “We only got assurance in words.”

Four major associations — Nepal Transport Entrepreneurs National Federation, All Nepal Transport Workers’ Association, Nepal Transport Workers’ Association and Free Nepal Transport Workers’ Organisation — have united for the protests. The struggle has moral support from Nepal Truck Tanker Entrepreneurs Association too.

The transporters have submitted a memorandum to caretaker prime minister Dr Baburam Bhattarai too. “It’s just a memorandum we submitted to the prime minister. Our demands have already been submitted to the department and ministries,” said coordinator of the struggle committee Vijaya Bahadur Swar.

Transporters and workers have demanded the government to declare roads as a peace zone and ensure the safety of vehicles and workers during strikes and bandhs. “The roads have become insecure. We want the government to provide us security,” said Karmacharya.

According to him, their major demands are the establishment of a separate ministry for transport, and recognition of the transport sector as an industry. They have also asked the government to withdraw the rights that were handed over to traffic police from the transport department. “The traffic police are denying transporters their rights,” he said.

The government delegated the rights to check vehicle tax and other charges to the traffic police in February this year. Similarly, the government has also decided to provide incentives from the fines collected to the traffic police.

Transport workers are not included in social security benefit, so we are also fighting for it, said president of Free Nepal Transport Workers’ Organisation Rajeev Ghimire.

He also demanded a separate insurance scheme for transport workers. The government has an insurance scheme of Rs 50,000 for passengers, drivers, and helpers, but third-party insurance is about Rs 500,000. It is not justifiable, he added.

Multimodal transport regulation to be developed

The freight forwarders today said that the Multimodal Transportation Act and Regulation is not practical.
Speaking during an intercation organised here today by the Nepal Intermodal Transport Development Board (NITDB) -- in association with Department of Commerce (DoC) and Nepal Freight Forwarders Association (NEFFA) -- to discuss on Multimodal Transportation Act and Regulation, they said that the forwarded liability is a key and the Act doesnot speak on that.
Multimodal Transportation is a transport-system operated using more than one mode of transport under control of one operator in two or more countries. Benefits of the model are faster transit, low paperwork, cast effective and one agency deal. The model also reduces formalities in port and customs when importing goods from third countries via India or vice versa.
According to NITBD, cargo containers are delivered at ICD and empty containers are received at the same place. Banks should play vital role in promotion of trade through investing in business against documents.
The government is initiating the act and regulation to increase export as the model promote safer way for export goods. Moreover, exporter or importer will have easy contact to agents as local agents are appointed under the model.

Third Party Insurance comes into effect

Hopefully, highway blockades in the wake of accidents and resultant deaths will be a thing of the past.
"From September 1, third party insurance has become mandatory and thus, compensation. Now, major supply routes will be spared of disturbances," said Finance Minister Surendra Pandey. Highway and road blockades at various places have become a frequent occurrence due to accidents and ensuing protests.
Vehicle owners can now get third party insurance at a little over the usual rate they are paying for their vehicle insurance and ensure peace of mind. "Third Party Insurance is a liability cover purchased by an insured -- the first party -- from an insurer -- the second party -- for protection against the claims of another -- the third party," said Prof Dr Phatta Bahadur KC, chairman of Beema Samiti.
"Vehicle Insurance Rate Regulation-2009 will also benefit employees in transportation sector, passengers and common people," KC said adding that TPI willnot be expensive but the deceased's family members or injured's relatives can claim a substantial amount, though it differs to vehicle to vehicle. The vehicle insurance comes under the non-life insurance.
In his budget speech for the fiscal year 2009-10 on July 13, Pandey had announced that the third party insurance would be implemented from August 17. Now, it will be implemented from September 1 as the Department of Transport Management took some time to finalise the process of payment. "The insurance company must pay within 21 days in case of death caused by accident and within two months in case of injury," said Sharad Chandra Poudel, director general of Department of Transport Management. "CDOs -- as urged by transport entrepreneurs -- will see to the settlement, as in the past such incidents have caused law and order problems," he said adding that unlike earlier police will not hold the vehicle back in case of accident, if the owner shows the vehicle's TPI papers.

Outbound worker torrent slows, falls from 656 per day to 400 per day

The tide of Nepali migrant workers leaving for various destinations abroad has ebbed after the government stopped issuing work permits for Malaysia and other countries also reduced the number of Nepali unskilled migrant workers. According to the Department of Foreign Employment (DoEF), in the month of Poush, the number of Nepali foreign job-seekers dropped to 12,313. It was was 18,685 in Mangsir and 20,543 a month earlier in Kartik.
Till couple of months ago, 656 Nepalis used to leave for foreign jobs but now only 400 Nepalis -- that is 256 less per day -- leave for the foreign job.
Taking cue from the global economic meltdown, the Gulf countries -- major markets for Nepali migrant workers -- have reduced the workforce strength especially unskilled hands and those working in manufacturing and service sectors.
Labour expert Dr Chiranjivi Nepal said the government should tackle this issue diplomatically. "Nepali diplomatic agnecies in those countries have failed totally," he alleged. Dr Nepal also suggested that they could use the laid-off workforce for reconstruction. "The capital expenditure has been very less this year compared to last year," he said adding that if the government has positive intentions it should start mega projects and employ Nepali youths.
Instead, the government is scouring for new destinations like Oman and Libya to mitigate the crisis. "What can be more risky?" Dr Nepal said. Libya and Oman both have 30 per cent and 15 per cent unemployment. Besides, there is no Nepali mission in either country.
Japan is another lucrative market to where the government has started the process for sending trainee workers. "But this also is for a limited number of semi-skilled and trainee workers, not unskilled ones," said Dr Nepal.
The drop in number of migrant workers will hit remittance which in turn will put more pressure on government exchequer. The impact of the drop in number of outbound workers will be on next year's remittance as the first half of this fiscal year has already passed. Remittance is a lifeline for the Nepali economy.
"In the long run, it might have an impact," opined Atish Shrestha, country manager of Western Union, one of the major remittance companies. "Remittance from the US and the European countries has seen nominal drop," he said adding that till December, the transaction size was around $1100 per month but in January it came down to $800.

Top 10 destination
KATHMANDU: Malaysia tops the list of top 10 destinations in proportion to the number of Nepali migrant workers, according to official figures. Qatar comes second followed by Saudi Arabia and the United Arab Emirates (UAE) and Quwait.
Malaysia -- 4,26,778
Qatar -- 3,50,453
Saudi Arabia -- 2,31,444
United Arab Emirates -- 1,48,249
Quwait -- 13,420
Bahrain -- 11,220
South Korea -- 6,378
Hong Kong -- 4,213
Oman -- 3,525
Israel -- 2,650

More Qatar visas
DOHA: The government of Qatar has approved 1,12,000 working visas for Nepali workers for 2009. According to Dr Surya Nath Mishra, Nepali ambassador to Qatar, 1,64,000 more visas are in than pipeline. "If so many Nepali workers come here, they would be the largest foreign community here," Dr Mishra said after meeting Qatari Labour Minister Dr Sultan Bin Hasan. He said his meeting with Dr Hasan's on Tuesday was fruitful and cordial. "The Qatari government has clarified that the global meltdown would not affect either the country or Nepali workers working here," the Nepali envoy said. -- RSS

Nepalis' plight
DOHA: Poor implementation of the government's decision to stop Nepali domestic workers from working in Qatar has led to dire consequences. Nepali women continue to enter this country and some of them meet an unimagined fate. Earlier, the plight of Nepali domestic workers was an unheard of matter in Qatar, with only numerous of cases of exploitation and deceiving reported in Saudi Arabia. More women, after finding themselves at the receiving end of exploitation and cheating, are taking refuge at Nepali embassy here. In recent times, the number of their arrival in Doha is on the rise with the Nepali Embassy rescuing eight, including two on Friday alone, in the last one month. The duo -- Asha Bhujel and Anita Nepali -- were lured by Nepali agents on the pretext of good jobs and landed here via Mumbai. Meanwhile, 10 Nepali workers were killed in separate incidents in Qatar in January, according to the embassy. . Most of them died in road accidents, it said. The embassy added that incidences of Nepali workers dying in accidents in this Gulf country are on the rise. – RSS

Transporters agree to reduce fare

Nepal National Transport Entrepreneurs Supreme Federation (NNTESF) -- one of the two bodies of transport entrepreneurs -- has agreed to cut transport fare according to the government's recent decision.
Bishnu Siwakoti, president of NNTESF confirmed that they are ready to reduce the fare according to the government decision. "We are entrepreneurs 'not frauds' and honour government's decision," he replied. Consumers' Forum and Students unions are blaming the transporters that they are 'frauds' because they are not willing to reduce the fare even after the petro-prices came down thrice.
"The federation has, but, asked the government to form a scientific system of fixing fare at the earliest possible," he said adding that government should take stern action against those entrepreneurs, who donot reduce fare.
Ministry of Labour and Transport Management (MoLTM) has reduced the transportation fair for the second time by three per cent in petrol-operated vehicles and six per cent in diesel-operated ones.However, the earlier decision of fare reduction -- by six per cent in diesel operated vehicles and seven per cent in petrol-operated ones -- has not yet been implemented, making it to a total reduction of aggregated 10 per cent in petrol-run vehicles and 12 per cent in diesel-run ones.
This is the 'huge failure' of the Maoist-led government on its part that the transport entrepreneurs are challenging its decision that directly hits the common people.However, Lekhraj Bhatta, Minister for Labour and Transport Management is optimistic. "We are taking action against those, who do not implement the new fare structure," he said today. But in the last 15 days, Department of Transport Management has taken action against around a half dozen taxis to show that it is working.
Taking the global cue, the state oil monopoly -- Nepal Oil Corporation (NOC) -- has slashed fuel prices thrice since October 25. But the transport operators have refused to cut fares, accordingly.
There is also a section under the department where people can register their complaints, if public vehicles charge them more. "But public transporters are still charging commuters old rates," complained Raju Bajagai, a student, who is not satisfied with the students unions also."The unions burn tyres and call for chakka jam for petty reasons," he said adding that its a serious matter and nobody seems to bother."
The transport entrepreneurs are more powerful than the ministry," said one official at the ministry without being quoted. "Such is their stranglehold that entrepreneurs arbitrarily hike the fare. They never feel the urge to consult the department," he added. "But they donot reduce even after government reduce the fare."
If the transport fares will not go down, the spiralling inflation -- that is hovering above 14.5 per cent, according to the Nepal Rastra Bank's (NRB) this fiscal year's fourth month data -- has very slim chance to come down.
The transport ministry and department for reasons best known to it has failed to implement its own decision. And the Consumers' Forum is preparing to knock the door of the court for the implementation of government's decision.

Minister Bhatta fails to tackle transporters' mafia raj

The state oil monopoly - Nepal Oil Corporation (NOC) - has taken the global cues to slash fuel prices successively over the past three months. Be that as it may, the transport operators are standing their ground and have refused to cut fares despite popular demand.
The transport entrepreneurs clearly hold their sway over an effete Ministry of Transport Management and Labour (MoTML).
Such is their stranglehold that entrepreneurs arbitrarily hike the fare. They never feel the urge to consult the MoTML. It's been more than two months since the ruling coalition has slashed the fuel prices. But private transport operators are in no mood to relent as they laugh all the way to the banks.
Lekh Raj Bhatta, minister for Transport management and Labour, has, however, done his bit. After marathon parleys with transport entrepreneurs, he has agreed to reduce fares by six per cent for diesel-vehicles and seven per cent for those run by petrol.
But, neither has been implemented till date, which has a ripple effect on the economy. The prices of essential goods are spiralling. Inflation, which is hovering around 14.1 per cent in the first quarter, as per Nepal Rastra Bank's latest figure, is a growing pointer to this.
Consumer bodies are cut up with sorry state of affairs.
Ram Chandra Simkhada, secretary, Consumers' Forum, Nepal, dubbed it anarchy. "This is fraud. The government must come down heavily on them," he said.
"The ministry for reasons best known to it has failed to implement the decision. The earlier cut was in tune with the then prices. There has been another round of revision since then. The fares should come down by a minimum 20 per cent," he reasoned.
NOC also came in line of Simkhada's fire for "lack of transparency in fuel price cuts".
Purushottam Ojha, secretary, supplies and commerce, had commented last week that the latest reduction of prices, pegged at Rs 5, was to make it on a par with the cost of petroleum products in India.
But, his fuzzy logic stands exposed, thanks to the latest price revision by the Indian authorities.
India slashed the price of petrol by INR 5 and diesel by NPR 2.

PM's promise of fare cut proves hollow

The Nepal Meter Taxi Association (NMTA) has reduced taxi fares by seven per cent after continuous pressure. However, it should have reduced the fares a month ago on November 1 when Nepal Oil Corporation (NOC) has reduced the petroleum products' prices for the second time in a week.
When asked about the delay in reducing taxi fares, contacted, NMTA officials clammed up.
NOC is slated to reduce the price of petroleum products again on December 3, and NMTA too would have to once again reduce the fare accordingly. NOC reduced the petroleum products' prices twice - on October 25 and November 1 - but public transport vehicles did not reduce the fare accordingly though they arbitarily increased fares when the price of petro-products had gone up.
The student unions were protesting against the transporters to create pressure for fare reduction. They have, however, taken their protest programme back after an assurance from Prime Minister Pushpa Kamal Dahal 'Prachanda' that fares would be reduced within two days.
The PM said he would ensure that public transportation complies with the transport ministry's decision to reduce the fares by seven per cent in petrol-run vehicles and six per cent in diesel-run vehicles within two days. However, except for taxis public transport vehicles are yet to reduce the fares.
The Department for Transport Management (DoTM), under the Ministry for Labour and Transport Management, has urged the general people to be wary of taxis charging higher fares.
"Support us by informing about taxis charging high fares. Dial the DoTM's numbers 4602126 and 4601002," the department said adding that it has already seized the licenses and other important documents of four taxis on the charge of taking higher taxi fares after an investigation by its probe committee.
Meanwhile, NMTA through a press release has asked all taxi drivers to charge seven per cent less fares and told them to take the list of seven per cent discount fares fixed by the government on November 22.