Jamaica Gleaner
Published: Friday | October 16, 2009
Home : Business
JUTC rebuts NTCS
In response to claims attributed to the National Transport Co-operative Society (NTCS) in an article in The Sunday Gleaner, the Jamaica Urban Transit Company (JUTC) wishes to state the following:

The Ministry of Transport and Works, pursuant to a decision of the Cabinet, advised NTCS earlier this year of the Government's requirement for the society to wind up its operations by December 2, 2009.

The move will leave the JUTC responsible for operating or making arrangements for bus operations on a number of additional routes within the Kingston Metropolitan Transport Region which are currently being serviced by the NTCS.

The NTCS was advised that in winding up its operations, it is required to pay any outstanding fees applicable up to December 2 or any earlier date it ceases operations, under its existing subfranchise arrangements with the JUTC.

In that regard, the JUTC first communicated to the NTCS the amount to be paid for the year running from April 1, 2008 to March 1, 2009. Payment of that amount has not been completed.

The total payments made by the NTCS since April 1, 2008, up to September 29, 2009, amount to $31,150,800.

This amount covers the period April 2008 to December 2008.

At the current rate of $13,600 per seat per bus, which has remained unchanged for some time, the NTCS fees, which are to be made to the Transport Authority, amount to $38,073,200 for the period January 1, 2009 to December 2, 2009.

None of this amount has so far been paid.

This is despite both verbal and written correspondence with the NTCS re the need for payment of the fees, which are mandatory for the society to operate lawfully.

While NTCS head Ezroy Millwood was quoted in the article as saying the amounts owed for this year were not known to the society, the NTCS clearly knows the figures involved because it has been contesting them, hence the reported claim was entirely without foundation.

I am, etc.,

Reginald Allen

Corporate Communications

Manager

Jamaica Urban Transit Company

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