, tariffs were revised upward to cover the rising costs of imported maintenance materials and foreign currency fluctuations. A Green Shift
Despite price hikes, the government maintained a heavy fuel subsidy specifically for public transport vehicles. For example, while the market price for benzene was nearly 60 Birr/liter, public transport vehicles continued to purchase it at around 41 Birr/liter .
Six months into the new tariff, Ato Yosef reported that his business was thriving. "The increased efficiency and streamlined routes have helped me reduce costs and increase my customer base," he said with a smile. "The new tariff has been a game-changer for me."
It was a typical Monday morning in Addis Ababa, the bustling capital city of Ethiopia. The streets were alive with the sounds of honking horns, chattering pedestrians, and the wail of sirens in the distance. But amidst the chaos, a sense of anticipation hung in the air. The Ethiopian Transport Authority (ETA) had just announced a new tariff for 2021, and everyone was eager to see how it would impact their daily lives. ethiopian transport authority tariff 2021
The "Ethiopian Transport Authority" typically refers to the . Functioning as an autonomous federal public entity under the Ministry of Transport and Logistics, the RTA's core mission is "to ensure the provision of a modern, integrated and safe Road transport services." Its responsibilities include managing vehicle registration, licensing drivers and operators, enforcing traffic rules, and, crucially, determining routes and promulgating safety and axle load standards .
The vulnerability of the minibus ecosystem to fuel shocks validated the federal focus on expanding the electrified Ethiopian Railways Corporation lines and expanding high-capacity city bus fleets, minimizing dependence on imported fossil fuels. Propose Next Steps
The 2021 tariff applies to all transported goods within Ethiopian jurisdiction, including cross-border road transport, rail freight (Ethio-Djibouti Railway), and domestic cargo haulage. , tariffs were revised upward to cover the
The core adjustments focused heavily on city-level public transport, medium-sized commuter lines, and long-distance commercial freight routes:
Here are some examples of tariff rates for common transportation services:
In 2021, Ethiopian transport authorities implemented 22% to 25% fare hikes and adjusted ride-hailing rates, driven by rising fuel prices and subsidy reforms. A major August 2021 revision to the Customs Tariff Book affected duties on over 8,000 import items, including reduced rates for agricultural goods. Read the full story at The Reporter Ethiopia The Reporter Ethiopia Fuel Fuels Cost Of Living | The Reporter Ethiopia Six months into the new tariff, Ato Yosef
+-------------------------------------------------------------+ | GLOBAL OIL CRUNCH & INFLATION (2021) | +-------------------------------------------------------------+ │ ▼ +-------------------------------------------------------------+ | ETHIOPIAN GOVERNMENT REGULATORY RESPONSE | +-------------------------------------------------------------+ │ │ ▼ ▼ +----------------───────────+ +----------------───────────+ | REVISED TARIFFS | | TARGETED FUEL SUBSIDIES | | • Minibuses: +10c/km | | • Benzene & Diesel cuts | | • Midibuses: +5c/km | | • Preserved Mass Transit | +---------------------------+ +---------------------------+
: Total fare increments per trip ranged from 0.50 to 3.50 ETB .
The Ministry of Finance also issued a new Tariff Book in August 2021 that reduced import duties on transport equipment and spare parts to 0-5% to lower maintenance costs for operators. Regulation and Compliance