The Mejia government has guaranteed US$150 million to finance the purchase of new vehicles for taxi drivers. The decision was reached after the taxi unions agreed not to increase their fares or protest when fuel prices went up upon the passing of the Petroleum Bill. Oneximo Gonzalez, director of the Metropolitan Transport Authority, explained that politics has prevailed in public transport decisions. That was his answer when El Caribe newspaper asked why, if intercity transport was developed successfully by private entrepreneurs, the government has chosen to guarantee US$150 million to purchase vehicles for the unions, thus becoming the nation’s leading importer of vehicles and taking upon itself the risk of having to pay for them. Gonzalez told the newspaper that political negotiations prevailed in the talks between the authorities and the union leaders. He said that Plan Renove will go nationwide and will cost US$524 million. The first phase has a price tag of US$150 million for the purchase of the first lot of vehicles including trucks for the nation’s leading truckers union. Gonzalez said the plan is to eliminate the multi-fare paying taxis known as “conchos.” These would be replaced by small buses that would interconnect with larger buses. A system of transfers would also be implemented. The government expects to get its money back. Gonzalez said the owners of the vehicles will make daily payments on the cars using a system of ATM cards. The government is also including full insurance for the vehicles, medical and life insurance.
