South Africa has introduced new legislation to regulate e-hailing services such as Uber and Bolt.
President Cyril Ramaphosa signed the amended National Land Transport Act (NLTA) into law, allowing e-hailing drivers to apply for operating licenses similar to other public transport operators.
This legislation addresses longstanding regulatory issues and enhances the legitimacy of e-hailing services.
Previously, Uber and Bolt drivers had to rely on charter permits and meter taxi operating licenses, which were not specifically designed for e-hailing services.
The new amendments simplify these provisions and introduce a new category of operating license tailored for e-hailing services, expected to reduce operational ambiguities that have plagued the sector for over a decade.
As per MyBroadband, Transport Minister Sindisiwe Chikunga highlighted that the amended NLTA brings the law up to date with developments since its initial implementation and aims to streamline the administrative processes for obtaining operating licenses.
The new regulations will also help prevent illegal operators from using e-hailing platforms, with penalties of up to R100,000 for non-compliance. This will provide an extra measure of safety to riders, too.
The inability to secure operating licenses has been a significant issue for e-hailing drivers, leading to tensions with metered taxi drivers.
These conflicts have sometimes resulted in violence, with incidents of e-hailing vehicles being torched in Soweto. The new regulations are expected to mitigate such conflicts by clarifying the legal framework and reducing the presence of rogue operators.
The amendments also empower provincial regulatory entities to withdraw or suspend licenses if operators contravene the NLTA or the Roads Act. Additionally, the act includes provisions for handling public complaints, ensuring passenger treatment standards, and implementing colour coding for vehicles. These measures are intended to improve the overall safety and quality of e-hailing services.
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