Vanuatu: Government intervention unlikely to contain transport operator grievances
On 29 April, bus drivers under the Port Vila and Shefa Land Transport Association announced during a protest that they would proceed with a AUD$0.59 (VT50) fare increase effective the same day, despite the Public Land Transport Authority (PLTA) declaring the move unlawful. Acting Association Vice President, Gilbert Kalanga Nasu, said operators have been seeking a fare review since 2018, citing rising maintenance costs, poor road conditions, and continual fuel price volatility. He also argued that the recent AUD$177 (VT15,000) fuel subsidy is insufficient to meet daily expenses. The Government, however, maintains that bus fares must remain at AUD$1.80 (VT150) and responded on 2 May by increasing the fuel subsidy package from AUD$3.8 million (VT329 million) to AUD$9 million (VT766 million) to support inter-island shipping, electricity, agriculture, and public transport, alongside a $AUD 1.7 million (VT150 million) one-off payment to cover three months of public bus and boat transport operations. Prime Minister Jotham Napat said operators are expected to maintain current fares to help households manage rising fuel costs, including aviation operators.
Assessment: The dispute is likely to recur rather than be contained by the government’s intervention. While expanded subsidies and one-off payments offer short-term relief, they do not resolve the bus operators’ long-standing grievances over fixed fares and rising operating costs. The latest tensions were triggered by recent fuel price increases linked to the Middle East conflict, which have increased pressure on bus operators. Unless fuel prices stabilise or fares are increased to reflect actual costs, operators are likely to increase protest action.
Sources: Doddy Morris, “Bus operators stand firm on VT50 increase today,” Daily Post, 28 April 2026; Doddy Morris, “Drivers say VT15,000 fuel subsidy not enough,” Daily Post, 29 April 2026; Anita Roberts, “COM raises fuel subsidy to VT766M,” Daily Post, 2 May 2026.
