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Alliance buses expected in March
Alliance Transport Service Share Company, the first private city bus service, signed a contract with the Chinese leading bus manufacturer Xiamen King Long Automotive Industry Co Ltd to import 50 buses at a cost of 72 million birr.
Based on the deal that was signed on Saturday, December 31, 2011 major parts of the buses including the engine will come from Kemens Engine, a company based in UK and the Chinese firm will undertake the body work and assembling of the buses.
Alliance Bus officials said that the buses will arrive within three months to start operation in the metropolitan. “The buses that have the capacity to transport up to 100 people at a time are modern buses that will give comfortable service for travellers,” the officials said.
The current deal is the first phase and the company has also plans to import more buses in the near future.
Alliance Transport Service formed by 2000 shareholders has collected 36 million birr from share sales and secured the balance through loan. The company is said to get the loan from a local financial source to import the buses, but officials of the company declined to disclose the source.
Alliance has also planned to offer second round public share sale. “To expand more the services and capacity, the second round share float will be a good advantage,” officials explained.
The company also plans to erect modern parking lots on different parts of the city to solve the parking problem.
Currently, Anbesa Bus run by the Addis Ababa City Administration is the only city bus service in the metropolis, while minibus taxis and medium buses remain the major transport facilities.
One of the major inconveniences in Addis Ababa is the severe transportation problem and the government has been taking various measures.
To solve the city transport problem Anbesa Bus is playing its part. Recently it imported hundreds of buses from China. In addition, the government is also in the processes of constructing a light railway in the city.
Xiamen King Long Automotive Industry is one of the biggest bus producers in the world with the capacity to produce 130 buses per day.