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RWANDA: Tap & Go firm eyes expansion

Upcountry destinations within Rwanda, more cities across Africa targeted

Kampala, Uganda | STEPHEN NUWAGIRA | AC Group, the firm behind the Tap & Go e-payment system on public transport buses in Kigali now plans to expand both within and outside the country.

AC Group chief executive officer, Patrick NsengaBuchana, says the Group is looking at other areas to areas of e-payments to expand into.

“We are committed to driving the smart cities agenda in Rwanda and other African countries,” says.

He says regarding the Tap & Go facility, the Group aims to expand to more upcountry destinations within Rwanda and more cities across Africa.

The goal is to deliver innovative products and solutions that improve the public transport experience and create opportunities for new jobs.

Last year, the firm expanded its operation into the Cameroonian market following a partnership with a local company to provide public transporters in Yaoundé Tap & Go services.

Buchana says the move is part of the firm’s goal to expand the smart transport agenda in different African cities.

The Tap & Go facility was introduced in Rwanda in 2015 and has led to major changes in the public transport industry.

City public commuter buses discarded cash payment system for the cashless mode where passengers pay their bus fares using pre-loaded cards.

The innovation has strengthened City of Kigali’s push for smart solutions to drive its green and sustainable development agenda.

The youthful techpreneurBuchanasays since the launch of Tap&Gosays it has created convenience as commuters no longer have to carry cash, reduced the number of fraud cases, and cut transaction times.

The initiative has also enabled public transport firms to reduce costs and improve operational efficiency, he adds.

According to Buchana, bus operators have recorded an increment of over 35% in revenues, which has facilitated reinvestmentin acquisition of new and bigger buses to ply different routes across the city and its suburbs.

The switch to high-capacity buses is touted as having eased congestion in the city.

Additionally, bus companies have reduced logistical costs in comparison to conventional paper ticketing.

Transporters look to more benefits

DeoMuvunyi, an administrator Kigali Bus Services (KBS), one of the three firms providing public transport services in the city, said e-payment of bus fare has facilitated the company to reduce revenue leakages. Without revealing the numbers, Muvunyi said the firm has been able to cut operational costs as there no longer need to hire conductors.

“Though we don’t have baseline to determine the increases in income, Tap & Go helped to save the money we used to pay conductors. This money is reinvested in the business,” he explains.

In addition, there were cases of thefts and under declaration of daily earnings previously, which has since ceased with the e-fare payment system, he adds.

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