Monopoly on some BRT routes and what it means

Come July 1, 2026, Mofat Company Limited, the contracted private operator for Phase II of the Dar es Salaam Bus Rapid Transit (BRT) system, will have a monopoly on the Mbagala, Gerezani, Kivukoni route, on which the current transport service providers, mainly the minibus daladalas, bodabosas, and bajajis, will be unlicensed, giving the Company a monopoly on that route.

Under a 12-year contract with the Dar Rapid Transit Agency (DART), the Company is responsible for managing daily passenger transport, fleet deployment, and station services along the Gerezani–Mbagala corridor via Kilwa Road.

The removal of daladalas (etc) from this route may sound strange. After all, competition is the rule of the game. Indeed, modern economics is largely against monopoly, though there are exceptions. For example, there are economic activities that are seen as natural monopolies.

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