The Department of Transport has made a landmark decision that is set to reshape the public transport landscape in South Africa by officially recognising e-hailing services like Uber and Bolt. This significant move follows the gazetting of the long-awaited National Land Transport Amendment Act and its accompanying Amended Regulations, which outline strict requirements for these services to operate legally within the country.
For years, e-hailing services have operated in a grey zone, facing hostility from traditional operators who viewed them as illegal competitors. However, with the new regulations in place, the department is taking steps to regulate the industry, ensuring that it is governed by the same standards that apply to other public transport services.
According to Department spokesperson Collen Msibi, the Act mandates that all public transport operators, including e-hailing services, obtain proper operating licenses. Msibi stressed the importance of this regulation, stating, “This will ensure that services remain authorised and safe. It also sets rules for e-hailing services to maintain quality and security.”
Critical amendments to the regulations dictate that each e-hailing vehicle must be clearly branded or show a sign indicating its status as an e-hailing service. This is in response to safety concerns, allowing commuters to verify that the vehicle is registered correctly. “Commuters must verify that vehicle and driver details appear in the app, and if not, they should exercise caution,” Msibi cautioned.
The Act introduces significant penalties for app developers who allow users to operate without an operating licence, with fines of up to R100,000 or jail terms of up to two years looming over non-compliance. Furthermore, all e-hailing applications must now be registered with the relevant regulatory bodies.
A key focus of the new regulations is consumer safety, particularly in response to alarming instances of crime involving e-hailing drivers. The Act commands the installation of panic buttons in e-hailing vehicles, which are essential for ensuring rapid emergency responses in threatening situations. Msibi noted, “The panic button for commuters will assist with crime detection and enable a rapid response by law enforcement or tracking companies.” Vehicle owners will be held accountable for ensuring that these crucial safety measures are in place.
As part of the compliance measures, drivers will be required to present the necessary documentation, proving their eligibility for operation under the new regulations. The responsibility of processing applications and ensuring compliance will lie with Provincial Regulatory Entity offices, which will issue operating licences only after thorough vetting.
Applicants are expected to pay a standard Operating License application fee, while operational costs beyond licensing will fall outside the department’s jurisdiction. To facilitate a comprehensive understanding of the new regulations, the Department of Transport plans to hold workshops across the country starting next week. These workshops aim to educate operators and officials about the new Act, ensuring a smooth transition to this regulated framework.
