Weekly highlights

Scrappage Scheme/Coaches: The program has yet to be initiated

Nearly two months after its amendment last April, the interministerial order concerning the premium for the renewal of the coach fleet has still not seen the light of day. The amendment concerns certain provisions of article 2 of the joint order of the Ministries of Transport and Budget, dated July 11, 2024, concerning the “Safe Autocar” program, as well as paragraph V of the same article of the text relating to the renewal of the coach fleet.

The latter sets a deadline of 12 months from receipt of the Narsa Agency’s agreement for spending the renewal premium and submitting the required supporting documents. The purpose of these amendments, which were to be published on “Prepac”, the electronic platform dedicated to applying for the premium in question, is to simplify the implementation of the provisions of Article 2 in order to “enable a greater number of road transport professionals to benefit”. This easing of the rules has been prompted by the discouraging results achieved to date. Despite numerous official reminders from L’Economiste since last April, and a promise to provide us with details of the changes, Narsa refuses to communicate on this subject. Narsa, the national road safety agency, is also silent on statistics concerning the number of coaches to be renewed over the 2024-2026 period, and whether rural areas are affected. A An internal source states that the change has a double dimension, technical and political, without saying more.

Under the current scheme, coach operators have 12 months from the date of receipt of Narsa’s approval for the subsidy to complete their file with the required supporting documents. After this deadline, the agreement is cancelled. With an annual budget of 200 million dirhams (USD 23 million), the coach renewal program for the years 2024, 2025 and 2026 concerns first, second and third category vehicles. The bonus for replacing a used vehicle (at least 15 years old) with a new one is aimed at passenger transport companies that are not subject to compulsory liquidation, are in good standing with the tax authorities and the National Social security Agency (CNSS) and started their activity in the sector before August 1, 2023. To qualify, companies must meet a number of conditions. Firstly, it must commit to purchasing a new vehicle of the same category in terms of number of seats as the one it wishes to replace; it must not purchase a vehicle more than 10 years old in the three years following receipt of the subsidy; and it must equip all its coaches with the safety package within one year of receiving the subsidy, in line with the evolving characteristics of the vehicles. The beneficiary company must also make the vehicle to be replaced available to Narsa or any subcontractor, so that it can be permanently withdrawn from circulation. The new vehicle must not be sold for at least 3 years from the date of registration. During this period, a lien on the vehicle must be signed in favor of Narsa, and the operator is required to register on the Road Transport Department’s computer system. The new vehicle must be used for passenger transport for at least 10 years from the date it is first put into service. Coaches less than 7 years old must have been in operation for at least 5 years. In the event of non-compliance with any of these conditions, the transport company will have to return the premium received, which varies between 390,000 dirhams (USD 43,000) and 1 million dirhams (USD 112,000) depending on the number of seats.

Hassan EL ARIF

 

 

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