Department moves to clarify PUTCO payment delays

Department of Roads and Transport 2023/05/03 - 22:00



​By Staff writer

The Department of Roads and Transport has moved to clarify payment delays to the bus company, PUTCO Bus Company.

It confirmed that payments to the bus company for the portion of March were captured and will reflect on the bus operators' banks account by Monday,08 May 2023. This is mainly due to transactions undertaken from different bank accounts which takes about three days.

This follows an announcement by the bus company informing passengers the company will not be able to carry out its bus service from Thursday, 04 May 2023 until further notice due to diesel shortages.

Delays in processing these payments for month of March 2023 are as a result of a widely known procedure and trend over the years. The Public Transport Operating Grant (PTOG) is only transferred to the Province by the National Department of Transport in the first week of May every financial year.

The Department currently manages thirty-four (34) bus subsidy contracts awarded to thirteen (13) bus operators, PUTCO amongst them.

Twenty-six of these are tendered contracts while the remainder (8) are interim contracts. These are funded by through the PTOG.

Bus contracts are operated in metropolitan municipalities, namely: Johannesburg, Tshwane, Ekurhuleni as well as Sedibeng District Municipality. Services are operated by bus companies on behalf of government.

The Department's primary interest is to ensure the service is available to avoid huge inconveniences to passengers when it comes to transport services. It is, to this end, working with the bus company to find a lasting and amicable solution to ensure minimal, if any, service disruption and inconvenience to its valued clients, the passengers.

SEARCH FOR SIMILAR NEWS WITH THESE KEYWORDS

Tags: operating grant PTOG: bus service tendered contracts Putco passengers

RELATED NEWS

No related news