Partly funded with a R5-million loan from the Industrial Development Corporation (IDC), the project is a partnership between the IDC, Taxifone, the taxi association Top Six Management and IT company Prism Holdings.
.
Loyiso Jiya, head of the IDC's Private Public Partnerships business unit, says: "We are very pleased with the progress of this project. In spite of the fact that there have been a few minor gremlins in the project rollout plan forecast, all Taxifone's financial commitments are being met and we are confident that this will remain the case."
The Taxifone concept - called Shesha - uses a rechargeable Vodacom co-branded payment card that is inserted into a payphone unit installed in a minibus taxi. Using GSM technology, the value is deducted from the card as a call is made.
"Individuals who purchase a Shesha card will be able to load funds onto the card by purchasing recharge vouchers through traditional pre-paid voucher channels as well as designated vendors at taxi ranks.
"In this way, SHESHA offers commuters a service that is ease to use, convenient, secure and reliable, while providing taxi owners and operators with an additional revenue source without having to handle cash."
Jiya says that in spite of the fact that his business unit typically finances large infrastructure projects; the broad-based Black Economic Empowerment factor was one of the main factors behind the IDC agreeing to fund a project of this comparably small size.
"This type of project is a first for us so it's a learning curve, but based on the IDC mandate to focus on broad-based BEE and SME development, the developmental aspect is more of a priority than the financial return.
"This was, in essence, an opportunity to play a meaningful role in terms of developmental impact in a space we are not usually involved in, and we would welcome proposals for similar types of projects."
The number of people who derive an income from the project is widespread. These include the vendors who sell the cards, the taxi owners and operators, the taxi management association, the cell phone company, as well as the BEE shareholders.
