Cape Town - The City of Cape Town has spent R175m running
the Myciti bus service since the 2010 Soccer World Cup, compared to an income
of R35m, the Cape Times reported on Monday.
The city said that despite the huge deficit, the service is
a "social project that will benefit the poor and improve the quality of
life for all citizens".
Transport mayoral committee member Brett Herron said the
national transport department supports the project and its funding relieves
the burden on ratepayers.
From 2010, the projected cost for managing and maintaining
the stations, including revenue collection and insurance, was R55m. The next
biggest costs were the direct running costs of buses at R43m, and overhead
costs at R39m.
"All services, both public and private, have to first
invest substantially before they are able to break even," Herron said.
"The percentage of cost recovery has increased from
month to month as passengers have increased."