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Wed, 06 Nov 2019 13:48 - Updated Wed, 06 Nov 2019 13:48

Transport sector aims to increase GDP contribution

Luanda - the minister of Transports, Ricardo D'Abreu, has defended in Luanda the need to increase his sector's contribution to the Angolan GDP, which currently stands at 3%.

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Luanda Railway Company (CFL) train

Photo: António Escrivão

TAAG planes

Photo: Pedro Parente

In the minister's understanding, while speaking to the Angolan Public Television Show ''Grandes Manhãs'', there is a very low contribution, having in consideration that in other economies this sector participates with at least 15% of all wealth produced.

In order to increase its contribution to the Gross Domestic Production, the minister mentioned that he is looking forward to improving the sector’s companies governance model and also capture more private investment.

Regarding the issue of mobility and public transportation, especially in the country's capital, the minister said that the resolution could not only be seen as the responsibility of the Ministry of Transport, but it is multidimensional as it involves provincial governments, the Police, and public works, among others.

Ricardo D'Abreu went on to explain that in the capital city's present scenario, with more than 8 Million people and more than 60% travel everyday from the periphery to the centre of Luanda, the four public transport operators are unable to meet the demand.

In order to solve this issue, it’s needed a decentralization of urban mobility plans, as part of the transfer of powers and competences to provincial governments within the framework of local authorities.

In the interview, the minister spoke about the situation of the Luanda Urban Transport Company (TCUL), which is undergoing a transformation process so that it can stop having losses and start being more profitable.

According to the official, the new management of the company, with the tools at its disposal and with responsible management, is "able to turn things around".

Ricardo de Abreu said the public company will see its fleet reinforced with another 220 new buses, because although it is included in the list of companies to be privatized, it is a useful public entity for the city of Luanda.

The minister believes that with a good management, the company will succeed and can even think on expanding its core business to cargo transportation.

Regarding the taxi drivers, commonly known as Kandongueiros, who transport most of the passengers of Luanda, the minister said they were talking to the associations to integrate them, since out of the 18,000 identified in the capital city, only 6,000 are licensed.

In view of the role collective taxi service has played, he stressed the need to organize this part of the market that still operates informally.

As for mototaxi service, aka Kupapatas, he said it was another form of transport that the market has found, given that other models do not match the needs of citizens.

"Kupapatas are smaller modals that the market has found," he said, adding that the regulations they are promoting will require a set of security features for licensing this business.

In the lengthy interview, the minister also addressed the restructuring process of TAAG, a flag airline that in the previous year (2018) had losses of 100 billion kwanzas, resulting from provisions and operating costs of past years.

In the maritime sub-sector, the minister explained that one of the reasons that led to the end of Catamaran transportation at Luanda city level was due to the high operational costs.

According to the minister, it was later concluded that there was an underutilization of the Catamarans, resulting from the improvement of road traffic in the city of Luanda.

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