Ethiopia: Private Sector Commitment to Rapid Transportation



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At this specific juncture where the world is indiscriminately entangled by countless economic problems mainly due to the current pandemic, many countries around the world are looking for ways to create jobs and boost their respective economies. Many investors and entrepreneurs are looking for green pastures to invest in in order to create jobs for a number of citizens, as even in relatively prosperous countries millions of citizens are out of work and unemployed.

Entrepreneurs seek opportunities to invest in various sectors with the aim of generating employment and economic growth. In Ethiopia, investment in the transport sector will help create more jobs. Currently, different transportation systems operate in the country. Invest in transportation systems, reduce travel times and improve reliability, increase accessibility, and as a result, the industry will become more efficient, labor markets will grow larger, and the economy will grow as a whole.

Minalu Moges, supervisor of Adika Taxi, told The Ethiopian Herald that there is a huge market demand in the country. As the population size increases alarmingly, there is a chronic shortage of transportation. To meet this enormous demand, the participation of the private sector is essential. Low network level relative to industry service providers is seen as a problem.

The Ministry of Transportation is doing its best in many ways, starting with providing information, encouraging and supporting the private sector. To close the gap and improve transportation service, much is being done at the national level.

For example, the high speed of two-wheelers is much more accessible and quicker to deliver people or goods to market in a timely manner. There is also another option for trips like train, bus and others. Even if it was built to improve the country’s economy, the road or rail can make it easier for nearby businesses to compete with other regions or businesses in an attempt to attract market from elsewhere for better buying opportunities.

In addition to reducing the time required for travel, these cars are important to operate and provide the public with efficient, quality and timely service. On the other hand, people spend more time feeling depressed while traveling to a date or other commitments.

So far, investment in roads has improved rapidly, but much remains to be done to reach the desired level. In Ethiopia, most transport investments are growing. The accessibility of cars with two and three wheels has improved considerably. Depending on the number of people living in the area, the investment can affect accessibility.

Addis Ababa Transport Authority Director of Public Freight Transport Operator Permits, Deployment and Assignment Alazar Yirdaw told The Ethiopian Herald that the biggest problem related to transport is the problem of pollution. The authority has considered the importance of non-motorized transport to reduce these types of problems. As urbanization increases, the use of motorcycles for transportation is crucial to deliver goods on time.

In the context of our country, the transport movement in the morning and afternoon is unidirectional. In the morning, the vehicles go to the center and vice versa. The ambulance and other vehicles cannot break through such a heavy traffic congestion at the time of carrying out the desired activity. At this time, the use of the motorcycle for such activities is preferred.

Currently, due to the pandemic, society is restricted to staying at home and these types of service providers are crucial to deliver goods at home and the use of technological services are easily provided. Encouraging people to use non-motorized services is also important for the health of society. There is a company that has been assembling a non-motorized vehicle that promises to move in Ethiopia.

On the other hand, the sectors generate more job opportunities for citizens and, so far, about 13 organizations are licensed and fully operational. Those organizations have their own call centers and are easily accessible, Alazar said.

Since Ethiopia is experiencing rapid economic and demographic growth, an inclusive transportation system is essential for the country’s development. Although the majority of Ethiopians walk and cycle, motorized transport, which is potentially causing increased congestion, worsening air quality and poor access to employment and educational opportunities, continues to favor non-motorized transport.

The government is committed to taking a more equitable approach that addresses the mobility needs of all citizens. The Ethiopian government recently launched the 2020-29 Non-Motorized Transport (NMT) Strategy, which outlines the measures the country will implement over the next ten years to improve mobility and facilitate inclusive urbanization. The Strategy also emphasizes the need to consider all residents, including women, children and people with disabilities, in mobility plans and budgets.

On the other hand, non-motorized transport is important to successfully create and promote clean urban transport. It can be a very attractive means of transport for relatively short distances and also for recreational trips in cities. Non-motorized transport is a highly profitable transport strategy and generates great health, economic and social co-benefits, particularly for urban dwellers. The main barriers are the perceived low status of non-motorized transport and the current focus on car-oriented planning.

The 2030 Agenda for Sustainable Development recognizes the importance of transport in sustainable development. Unlike the Millennium Development Goals (MDGs), the Sustainable Development Goals (SDGs) have targets that have a direct link to transport.

Most countries have long focused on investing in motorized transport to increase mobility efficiency. This has led to a great neglect of non-motorized transport, particularly on foot and by bicycle, but they are the most basic and accessible modes.

Motorized transportation, especially automobile use, is growing at the fastest rate due to transportation investment patterns. Unfortunately, these investment patterns have proven to be unsustainable, evidenced by the heavy traffic congestion experienced especially in cities and the increasing carbon emissions from transportation activities.