In light of the widening national budget deficits, it would be incumbent for the government to enhance its capacity to generate revenue from growing economic sectors.
One key recommendation would be to impose $100 annual fee charge to registered ‘runners’ across the country. By implementing the policy to the 4000-plus runners, the government stands a chance of generating $400,000 worth of revenue per year or $2 million in the next five years.
Whereas at first glance the fee may be perceived as ridiculously expensive, yet from my estimation, a full-time runner could stand a chance to earn an average of $500 in income per month or $6,000 per year, hence $100 would only make up 1.7% of the approximate average income generated.
Moreover, the fee is only fair as runners would consume a lot of fuel as they go about their logistics-focused operations; fuel which the government heavily subsides. It was reported the government spends $100m to $300m per year for fuel subsidies.
In return for imposing the fee, the relevant authorities should utilise the resources invest in enhancing the regulatory framework to oversee the market operation. The regulation should ensure the safety and standards of ‘runners’ and consumers are protected.
Without the presence of strong regulation, negative scenarios could happen.
Imagine a runner carrying out a service only to found out the goods transported contained contraband goods. Or a consumer seeing his items stolen or scammed by a runner. These things could happen and should be avoided with stronger regulation, one that requires money, which the imposed fees can supply.
Overall, I hope this idea can be taken into account by the relevant authorities.
Indeed, the policy could be a key step from moving our heavily redistributive oriented welfare economy into a dynamic and competitive market needed to prepare the country for the post-oil age.
By Lari Lari