Ridesharing services in Egypt to be regulated: Minister



Tue, 03 Oct 2017 - 01:33 GMT


Tue, 03 Oct 2017 - 01:33 GMT

Minister of Transportation Hisham Arafat delivering a keynote speech in a lecture organized by AmCham – Ashraf Fawzy

Minister of Transportation Hisham Arafat delivering a keynote speech in a lecture organized by AmCham – Ashraf Fawzy

CAIRO – 3 October 2017: Minister of Transportation, Hisham Arafat, announced on Tuesday that a draft law regulating ridesharing services will be finalized next month. The law is articulated in collaboration with the ministries of interior, trade and industry, and communications and information technology.

The minister also announced that metro fares will increase in one or two years following the construction of new lines, and the renovation of the existing two, which would enlarge the ROI.

The minister made these announcements during a lecture titled, “Egypt’s Trade and Logistics Competitiveness: Unlocking Investment Opportunities,” which was organized by the American Chamber of Commerce in Egypt.

Arafat gave an overview of the planned new transportation network connecting all areas in Egypt, which will be accomplished in 2013 stating, “Transport and logistics are the cornerstone for development.” He also declared that the transportation sector contributes three percent to Egypt’s GDP.

The minister explained that the financing of the project would be achieved through development finance institutions (DFI), bonds issuance, and public equity.
For the road networks, 2,200 km are being constructed at a cost of LE 30 billion ($1.7 billion), and 500 km will be enhanced at a cost of LE 10 billion. “Everyone can notice the improvement in roads and bridges. Sustainable development is always backed by a good roads network,” Arafat said.

Arafat stated that the budget required to restore road safety all over Egypt is $17 billion, as each kilometer costs $1.7 million.

The minister added that the sector of dry ports and logistics centers is being established in the country, while the river transport sector is being expanded and upgraded.

Regarding the railways, the ministry aims to reach the ETCS-Level 1 in two to three years to ensure safety along with enhancing level crossings, as there are currently up to 3,000 illegal level crossings which affects the durability of railroads.

The European Train Control System (ETCS) is the signaling and control component of the European Rail Traffic Management System (ERTMS) to replace traditional incompatible protection systems.

The minister highlighted that transporting goods through railways can alleviate the loads transported via the roads network preserving it from wearing out sooner.

Furthermore, intermodal stations will be constructed to connect different underground metro lines which will increase from two to six. “Rehabilitation of Line 1 is crucial as it is the largest and the most congested for carrying 1.7 million passengers daily. It uses an outdated technology.” The minister clarified that the construction of Line 6 will reduce the load on Line 1.

Arafat also stressed on the importance of boosting multimodal transport connecting railways and maritime ports which is under execution by the ministry.



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