Passenger transportation service resumes slowly

Tuesday, 30/06/2020, 22:28 [GMT+7]

Passenger transportation service resumes slowly

Re-operating for the last 2 months, passenger transportation businesses in Khanh Hoa have still met challenges, struggling with severe downturn in passenger numbers and vast majority of vehicles for fixed routes remaining inoperative.
Reducing, cutting off service
The Ministry of Transport has allowed domestic passenger transportation vehicles to resume operation from the beginning of May. This is a positive signal, facilitating businesses to recover from COVID-19 impacts. However, due to low travel demand with international flights not yet resumed, transportation businesses have still faced great difficulties.



Vehicles for fixed routes operate at less than half capacity.

Nguyen Chi Tai, Deputy Director of Cuc Tung Company, Ltd. said, “We were so excited when the business was allowed to re-start. However, since then, less than 50% of our vehicles have operated and transportation service on many routes have been cut off. In addition, passenger numbers are only 20% compared to the time before the outbreak. Meanwhile, the costs of maintenance and operation remain unchanged, resulting in great economic difficulties."
A drop in passenger numbers can be seen at most of coach stations and booking offices. Most vehicles  have remained inoperative or operated moderately with only some tens of trips a day. Nguyen Ly Minh Quan, Deputy General Director of Khanh Hoa Khanh Hoa Transport Service Company, Ltd says passenger transportation service on fixed routes has gradually resumed but very slowly with 50% of the capacity of fixed trips to other cities and provinces so far. Tour buses and coaches remaining inoperative will benefit from discount or exemption from coach station charges.
Waiting for international travel to resume 
Not only fixed-route vehicles but also tour buses and taxis in the province are operating moderately. Many businesses have to liquidate their vehicles because they cannot afford maintenance costs. According to Nguyen Van Quang, a representative of Quang Hanh Trading & Service Co., Ltd, although passenger transportation has started to recover together with many tourism stimulus programs, the number of visitors to Nha Trang - Khanh Hoa is still little. Their tour buses mainly serve international visitors while currently Vietnam has not opened to international travelers yet, so most of the vehicles have remained inoperative. 5% of the operation capacity has been recovered. There are not many passengers, mostly from small domestic tours. The company is operating at a loss as the revenue is not enough to cover expenses. The company is struggling to remain commercially viable while waiting for international travelers to come back.
After nearly 2 months of re-operation, transportation service has only recovered by 50 - 60% compared to previously before the coronavirus pandemic. Transportation businesses are facing great difficulties, struggling to wait for the international travel to resume. During the unprecedented COVID-19 on the world, the question of re-opening doors to international travelers in wake of coronavirus is being carefully and cautiously considered by the Government.
Policies on interest-free loans; tax and fee reduction or exemption for businesses have been submitted to competent authorities for consideration, according to Nguyen Van Dan, Director of Khanh Hoa Department of Traffic & Transportation.
Thanh Nam
Translated by N.T