Nipate
Forum => Kenya Discussion => Topic started by: RV Pundit on June 30, 2017, 08:07:02 AM
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Way to go - SGR is already boosting tourism in Mombasa.
3 trains from Nairobi - and 3 - trains from Mombasa
http://www.businessdailyafrica.com/news/Madaraka-Express-trains-will-increase-six-a-day-July/539546-3992754-j959gvz/index.html
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they wont even make a kobol in profit from passenger trains
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Of course. GoK is not interested in making profit out of the rail. It's a public service. As long as it meet the running cost..that is good enough. The cargo trains will re-pay the loan.
they wont even make a kobol in profit from passenger trains
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it wont meet the running cost.. In a few years it will be in the budget looking for subsidy. Passenger trains are useless. The jobs that will be lost by bus companies are not worthy the subsidy.
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I disagree - the tourism sector in mombasa - will get more jobs - plus convenience for travellers is a boon. Let see how this turn out before we condemn it.
it wont meet the running cost.. In a few years it will be in the budget looking for subsidy. Passenger trains are useless. The jobs that will be lost by bus companies are not worthy the subsidy.
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I asked about the buses. Why is the state not also subsidizing them?
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I wish SGR well, but it is important to note that railroads are very high maintenance and must be subsidized. Right now the Chinese are running it and it may survive, however, when the thieves take over-I fear for it.
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That would be terrible idea like Maize Subsidy now. It hard to administer assuming it was good idea - it isn't. SGR is moving people safely & quickly btw it's two most important cities. I think GOK will subsidizes it for sometime - to deal with bad perception that trains in Kenya sufffer. By next year I expect fares to go to 1,000 or about.
I asked about the buses. Why is the state not also subsidizing them?
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Why is it a good idea to subsidize the train and not the buses?
That would be terrible idea like Maize Subsidy now. It hard to administer assuming it was good idea - it isn't. SGR is moving people safely & quickly btw it's two most important cities. I think GOK will subsidizes it for sometime - to deal with bad perception that trains in Kenya sufffer. By next year I expect fares to go to 1,000 or about.
I asked about the buses. Why is the state not also subsidizing them?
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First it easy to administer & monitor - just one operator - and secondly its for strategic interest of this country.
Why is it a good idea to subsidize the train and not the buses?
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First it easy to administer & monitor - just one operator - and secondly its for strategic interest of this country.
Why is it a good idea to subsidize the train and not the buses?
There is a law anti-trust law that shields traders from this behavior even by the state: Kenya Competition Act
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As long as they hire non marauding goons the railroad will be fine. Mombasa benefits