ONBOARDING THE INFORMAL TRANSPORT SECTOR IN AFRICA TO IMPROVE MOBILITY

From Insights Movinon

One line description: ONBOARDING THE INFORMAL TRANSPORT SECTOR IN AFRICA TO IMPROVE MOBILITY

Description: How might integrated payment systems encourage greater unification between mass transit and and paratransit systems in African cities?

  • Understand the complementarities and potential synergies between the various urban transit providers in African cities.
  • Identify potential interfaces between these different actors.
  • Reflect on multimodal transport business models and public policies that could be built around payment systems, especially with a view to serve underserved populations.

Image:

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Organization: UATP, MICHELIN

Participants: ORANGE, SCANIA, TRANSPORT FOR CAIRO, BIFASOR, WHEREISMYTRANSPORT, AMPERSAND SOLAR, MELLOWCABS

Category: MULTIMODAL SOCIETY, INNOVATIVE TECHNOLOGIES, ACCELERATE CHANGE

Theme: city, multimodality & MaaS

Leader: ULLMANN Laurence, CISSE Yssoufou

Facilitator: LEONG Eric

Expert: HEGAZY Mohamed, PERSSON Christian, SOUSSI Rym, MEHENNI Sam, MBABALI Jerry, BRUNO CONQUET

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Chat discussion canal : https://chat.fabmob.io/channel/movinonconf

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FROM THE MINUTES 2018

According to Kampala Capital City Authority, 42% of the vehicles in Kampala — the busiest city in Uganda — are two-wheeled bikes that carry 9% of the users. Public taxi vans, mainly operated by amateur drivers who are typically among traffic law abusers, represent 21% of the vehicles and carry 82% of the users. “If the informal, paratransit sector in Africa stopped today, there would be no transport solutions for most people,” says Laurence Ullman. And even though the service is flexible and cheap, it is inconsistent and difficult to monitor. Developing a transportation system that relies on an integrated payment system (IPS) can help onboard informal private operators while creating stronger ties between mass transit and these paratransit operators in Africa.


"We have never seen A full picture of the Entire cairo transit System. We know we have The cars and drivers, but We don’t know how it Functions as a system." - Mohamed Hegazy


INTEGRATED PAYMENT SYSTEMS SPEEDBUMPS

Think an IPS is a sure-shot answer to these complex problems? Explore the difficulties African countries face in establishing this technology.


SAFER, MORE PREDICTABLE FOR LESS

According to the experts, IPS will help underserved portions of the African population move around better in their cities, while also providing economic and cash flow benefits to government and citizens.

STAKEHOLDER WHAT THEY WANT THE BENEFITS OF IPS
COMMUTERS A fair, standardized price / Predictable modes of transportation / Access to a system that is easy to use Increases safety and predictability / Helps deter theft
GOVERNMENT Tax revenue / Improvements to the efficiency of the subsidy system (for fuel, students, low income or rural users) Collects data and taxes through mobile payments / Targets people in need of subsidized transportation
DRIVERS Reduced working hours / Increased incomes / Faster, more efficient routes Increases productivity by avoiding congestion / Improves management through technology
INFORMAL MOTO-TAXI Increased occupation rate Gives access to payment plan for moto-taxi
GARAGE OWNER Secured income Increases reliability / Gives access to pre-payment / Tracks transactions to better understand the needs of their clients
ROAD SAFETY OFFICERS Better road safety Reduces the number of vehicles on the road


NEXT STEPS TO GET THE INFORMAL SECTOR ON BOARD

1. Create a dedicated team

2. Determine the geographic area for the IPS

3. Identify the customer base

4. Establish partnerships with the Ministry of Finance, large banks and manufacturers to secure funding and build trust

5. Build relationships with paratransit drivers by engaging in dialogue with operators, fleet owners, and customers

6. Approach fleet owners and run a pilot project with them

7. Experiment with a small market before rolling program out on a mass scale

8. Create an easy-to-use system incorporating familiar technologies

9. Standardize pricing