Spare parts shortage, stiff competition shove 14-seater matatus off Kenyan roads

The 14-seater vehicles commonly referred to as matatus, have been the most popular mode of transport for Kenyans but as a fate has it, they are fast being pushed off the roads.

Rising operation costs due to lack of spare parts and a surge in number of high occupancy vehicles is taking a toll on the matatus that have for years become synonymous with public transport.

The shortage of spare parts has been caused by importers who are cautious about plans by the government to phase out the 14-seaters as part of a wider strategy to reduce traffic congestion in major towns. Most traders are also shying away from importing the 14-seater vans.

Faced with the reality, most transporters have fast moved to acquire high-capacity fleet even as the government prepares to fully implement the new policy on urban public transport. A spot check on most city routes shows buses are gradually taking over, pushing the 14-seaters out of business.

The Matatu Welfare Association (MWA) says it has registered a 25 per cent decline in the number of 14-seaters on the roads with most being forced to operate at night when the mini buses take a break.

“As we are speaking now, 25 per cent of the 14-seaters have pulled out of the road as their owners cannot maintain them because of low business,” said Mr Dickson Mbugua, the chairman of MWA.

Simon Kimutai, the chairman of the Matatu Owners Association (MOA) says lack of spare parts has expedited the exit of the 14-seater vans.

“It is now hard to maintain the 14-seaters especially having no spare parts coming in. It is becoming difficult for the owners to maintain them,” Mr Kimutai said.

He said over the past few years, the number of high occupancy vehicles have been in an increase.

“Many operators of the PSV have realised that it is no longer profitable to operate a 14-seater vehicle and that has been the key reason why many of them are going for the high capacity vehicles,” says Mr Kimutai.

Mr Christopher Muia, chairman of the Umoinner Sacco that operates a fleet of vehicles along Jogoo Road to Umoja and Innercore estates says 10 out of the 15 matatus that they used to operate under the same sacco are no longer operational.

Tight competition

“There is tight competition from the mini-buses that have nearly rendered the matatus useless,” he says.

Mr Muia noted that the owners had to pull them out of the road because they could hardly earn profit as competition intensified.

Mr Mbugua says many passengers also favour the mini-buses and the comfort that the mini buses come with adding to the regulated fares have worked to the disadvantage of the 14-seaters.

Philemon Wangila, a resident of Umoja estate says the increase in number of high occupancy vehicles has come as a relief to passengers who have been longing for comfort and regulated bus fares.

“You will realise that in the recent past, the 14-seaters have been charging fares basing on weather condition or congestion in town, but currently, I pay a maximum of Sh80 regardless of the prevailing circumstances,” says Mr Wangila.

Ms Mary Mwangi, a resident of Innercore estate says she has been attracted to public service vehicles (PSVs) with mini buses because of the comfort that they come with.

“When I leave the office in the evening, very exhausted, I need to sit and relax in a passenger vehicle that is spacious and I can only find this in a vehicle with high occupancy capacity given that they have enough leg room for relaxing,” says Ms Mwangi.

As 14-seater owners count losses, the mini buses are looking to expand to other routes to serve more commuters.

Umoinner has applied for permission to serve other routes like Jomo Kenyatta International airport area. Currently, this sacco only operates in Nairobi’s Eastlands area.

“We have more than enough vehicles that are operating along Jogoo Road, and we feel that we have got to extend our routes on the other parts of the city,” says Mr Muia whose sacco has 86 mini buses on the road and 21 more vehicles at the assembling plant.

Kenya Bus Services (KBS) recently started serving Pipeline area as they await permission to operate on other routes.

More profitable

In an interview with the Business Daily, managing director KBS Edwin Mukabana said the high occupancy vehicles are more profitable and that is why they want to add the number of routes.

“It is not in doubt that operating a vehicle with high passenger capacity is quite profitable, this is evident from an increase in number of these vehicles on the road,” says Mr Mukabana.

Mr Mukabana says many operators of the Passenger Service Vehicles (PSV) are going for vehicles with at least more than 50 passengers owing to their lucrative nature.

Currently, KBS serves five routes and their efforts to operate in some areas such as Kariobangi and Huruma has been met with hostilities, forcing them to withdraw.

“The government should step in to end such acts of stopping the PSVs from operating on a given route once they have been licensed to,” says Mr Mukabana.

He says matatu industry is a liberalised business and they should be allowed to operate in any route as so long as they meet the requirements. However, the chairman of the matatu association says the 14-seaters should not be phased out entirely.

The association struck a deal with the government to review the ban on these vehicles, allowing a few to operate in some selected towns.

“When President Uhuru Kenyatta paid us a courtesy call, we pleaded with him that the policy should be reviewed to allow the 14-seaters to operate in the outskirts of the city and he was very positive about our suggestion,” Mr Mbugua said.

He says the mini buses cannot operate effectively in some parts of the country, hence they will not be economical viable to their owners.

General Motors (GM), one of the leading car assemblers in Kenya, has become the main beneficiary of the shift to mini-buses with orders going up.

“We have had a great business as we have realised a good progression from our customers who are moving from the 14-seaters to higher capacity vehicles,” said Ms Rita Kaveshe, managing director GM.

The rising demand for the buses has also attracted auto dealers like Toyota Kenya which in February entered the bus assembly market, seeking a slice of the growing buses and trucks segment.

“There is a huge market as about half of the Kenyan motor vehicle market is commercial, mainly made up of pick-ups, trucks and buses,” said Naoki Takeuchi, the managing director of Toyota Kenya in a past interview.

Toyota Kenya manufactures its line of trucks and buses under the Hino brand at the Mombasa-based Associated Vehicle Assemblers plant and the vehicles.

Sales of commercial and public transport vehicles such as pick-ups, trucks and buses accounts for 40 per cent of industry deals, buoyed by increased demand in sectors such public transport, haulage and agriculture, experts say.

The buses and trucks business in Kenya is dominated by established players such as CMC, General Motors, Simba Colt and DT Dobie.

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