Public transport regulators have put on hold the mandatory requirement imposed on vehicles in mass transportation to install GPS tracking devices. The decision comes four months after officials at the Ministry of Transport & Logistics prescribed installing tracking devices to enforce the federal government’s petroleum subsidy phase-out and curb the anticipated illicit fuel trade.

Federal authorities attempted to compel nearly half a million buses, and minibus taxis with license plate codes 1 and 3 to install the devices. However, the requirement has been suspended indefinitely, disclosed Kedilmagist Ibrahim, the Ministry’s head of drivers and vehicles directorate.

Officials say they need more time to accommodate the needs of the transport vehicles.

“It’s not possible to enforce GPS installation based on the previous schedule,” said Alazar Yirdaw, director of public transport at the Addis Abeba Transport Bureau.

Thirteen taxi associations representing 8,000 taxi owners in the capital had lodged complaints with the Bureau. They petitioned to have the GPS scheme suspended as many members could not afford to install the devices, says Zerihun Desalegn, president of the 340-member Zebra Taxi Owners’ Association.

GPS tracking devices cost anywhere between 17,000 Br to 25,000 Br apiece.

Although the devices would allow access to real-time information on vehicles’ locations, routes, and speeds, officials found the Telebirr mobile money platform is sufficient to prevent potential illicit trade. Initially, they had planned to depend on GPS devices to monitor the public transport fleet operating in the dual-rate system the federal government implements at pumping stations. Over 1,000 fuel stations have been registered on the Telebirr platform run by the state-owned Ethio telecom.

According to Endale Demeku, director of logistics at the Ministry of Transport, the payment platform is functioning adequately.

“It’s useful to monitor the daily and monthly fuel intake of vehicles,” he said.

Federal transport authorities have set daily fuel quotas for public transport service providers. Minibus taxis are entitled to 65 litres of gas a day, while midi-buses can buy 102 litres of petrol or diesel. Vehicle owners or drivers pay for their gas using a personalised account on Telebirr. They are refunded based on the subsidised rate, around nine Birr cash back for a litre. Those who exceed the daily fuel quota pay full price. A litre of benzene retails for 47.83 Br; diesel sells for 49.02 Br.