LTA reassures operators over PSV reforms

Taxi operators and small transport business owners across Fiji are being assured they will not be disadvantaged under new Public Service Vehicle (PSV) permit reforms.

This clarification by the Land Transport Authority (LTA) today follows concerns over how the changes may affect their livelihoods.

LTA says the updated framework is designed to protect genuine operators while stopping the long-standing practice of treating taxi permits as tradable commodities.

In a media statement, chief executive officer Irimaia Rokosawa said the reforms aim to restore fairness in the sector and ensure permits are used for service delivery rather than profit-making through resale.

“These changes are not intended to disadvantage law-abiding permit holders, but rather to restore balance within the sector,” Mr Rokosawa said.

The removal of taxi permit transfers through Sale and Purchase Agreements in the secondary market has raised concerns among some stakeholders, particularly those who rely on permits as financial assets.

However, the LTA maintains that the move is necessary to address speculative trading, which has driven up permit values and created barriers for new entrants.

“This measure is intended to eliminate the treatment of permits as financial commodities and refocus the sector on service provision,” Mr Rokosawa said.

The Authority also reassured financial institutions and operators that access to financing will remain possible. PSV permits can still be used as loan security, provided prior approval is obtained.

“Financial institutions holding security over a permit are allowed to dispose of the permit to recover outstanding debts,” he added.

The LTA said consultations were carried out with banks and the public between September 2024 and March 2025, with feedback helping shape the final policy.

As the reforms roll out, the authority says it will continue engaging with stakeholders to provide guidance and ensure a smooth transition for those affected.