TRANSPORT INITIATIVE
                     Background
           Transportation or commutation is part of everyday living today. 
          Electronic payments hold great potentials for the Transport sector 
         especially where electronic payments are imbibed at all stages of the 
    0                  entire Transport value chain. 
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    o   The benefits to commuters, transport businesses and investors, and the 
    i                  nation at large are enormous.
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    t    The Transport Initiative aims to, at a minimum, develop strategies for 
    s    getting the public to pay for (inter-city and intra-city) transportation 
    y                        electronically.
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          Our mandate is to demonstrate the benefits of e-payments in the 
    m   transport business by implementing a PILOT with companies such as BRT, 
    y    ABC Transport, Danfo operators, Taxi operators(Yellow Cab, Red cab), 
    a                           etc.
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                                                         TRANSPORT INITIATIVE
                                             Rationale
                     A closed eco-system accepting dedicated payment cards 
                     and/or normal payment cards
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    0                    Good public awareness
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    m                    Easier to offer incentives for electronic versus cash.
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    t                Pilots publicised as model implementation to attract the 
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    e                interest of stakeholders in transportation business
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                                                                                     OBJECTIVES
           To demonstrate the relevance of cashless system to the transport sector
             •Increasing adoption of electronic payments over cash
           To show that electronic payments has benefits for the transport sector in cost savings, 
           safety, and bottom line, and engenders Financial Inclusion. 
             •Pilot implementation
    0      To articulate different areas of the transport sector where electronic payment is applicable 
    2      – vehicle purchase, hire purchase management(e.g. direct debits), passenger payments, 
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    2      fuel purchase, insurance, data gathering and management etc 
     
    n        •Pilot implementation
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    i      To engage different transport stakeholders in publicity/enlightenment programmes
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    m        •Number of industry stakeholders engaged.
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    s      To generate statistics that are relevant to transport sector, to facilitate electronic payment 
    y      adoption trends
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    t        •Periodic release of transport sector statistics
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    m      To articulate incentives for electronic payment consumers, to grow adoption e.g. discounts 
    y      for e-payment based passenger payments
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             •Adoption rate                             4
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                                                                               STAKEHOLDERS
                 Banking Industry                 User Community                      Service Providers
                                         Consumer Rights Protection            Banks
        1    CBN                         Agency
             All Banks as issuers of     Taxi Drivers association              Processors
        2    payment tokens
    0                                    Transport Owners Association          Nigeria Central Switch
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    0   3                                Transport Employees Association       NIBSS (settlement)
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    n                                                                          Card Schemes, Mobile 
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    i                                    Petrol stations                       Payment Operators
    s        All Banks as acquirers of 
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    V        electronic transport                                              EFiNA
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    m        payments                    Air Travel industry
    e                                                                          FRSC
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    y                                                                          Federal Ministry of Transport; 
    S                                    Auto dealers                          States Transport ministries
     
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                                       SYNERGY WITH FSS2020
             FSS2020 Work            Level of Synergy       Rationale and Approach to Leverage Synergy
             Stream
             Financial Markets       High                   Payment s is an integral part of transport system. 
                                                            Adoption  of  electronic  payments  in  transport 
                                                            business  will  help  to  grow  electronic  payment 
                                                            adoption in other facets of life.
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    0        Insurance               Medium
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    i        Mortgages               Low
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    m        Pensions                Low
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    s        Credit (Micro/SME)      Medium                 Electronic  payments  will  promote  credit  in  the 
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    S                                                       transport  sector  –  Direct  Debits  will  grow  lease 
                                                            and hire purchase market.
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