Conflict resolution and the deregulation of the South African transport sector

Abstract

Transportation policy has achieved increasing recognition as a key variable influencing the development process in Southern Africa. The present paper explores the way in which the South African Transport Services have been forced to pursue two largely conflicting goals, namely to function as a commercial organisation while simultaneously obligated to further the economic and political objectives of public policy. It is argued that carefully planned deregulation provides a solution to the current impasse if certain preconditions for equal intermodal competition are established. The impact of such a policy of planned deregulation on industrial decentralisation and economic efficiency is examined, and an integrated approach is proposed to minimise any adverse effects on development.

Notes

Lecturers, Department of Economics and Economic History, Rhodes University, Grahamstown.