E-hailing apps risk R100 000 fine or jail if drivers operate without compliance
The newly gazetted National Land Transport Amendment Act makes e-hailing services official in South Africa, but apps and drivers must follow these strict rules.
The National Department of Transport has gazetted the long-awaited National Land Transport Amendment on September 12, officially recognising e-hailing services as an additional choice of transport for the South African public.
The Act outlines a requirement for all public transport operators to have an operating licence, a measure intended to ensure that services remain authorised and safe.
Read more: Santaco meets taxi drivers accused of illegal ranks on Winnie Mandela Drive
For the first time, e-hailing has been affirmed as a new service type, giving official recognition to operators who have long been treated as illegal competitors by other service providers on the streets.
According to the department, app companies offering e-hailing services must register and comply with company laws under the Department of Trade, Industry and Competition and the South African Revenue Services (SARS).
All apps must also be registered with regulators. App developers who permit users to use their platforms without an operating licence risk a fine of up to R100 000 or imprisonment of up to two years.
As part of the compliance process, the provincial regulatory entity offices will ensure that applications are properly vetted before drivers can be issued an operating licence.
E-hailing operators will be required to pay a standard operating licence fee, an application fee, and other costs outside the Department of Transport’s purview.
Vehicles used for e-hailing must be branded or carry a sign indicating that they are operating under this category.
Commuters are also required to verify that vehicle and driver details appear in the app, ‘and if not, should exercise precaution,’ the department said.
Also read: Cedar and Uranium roads see fresh upgrades after driving struggles
In addition to licensing, the Act places a strong emphasis on commuter safety. “The Act also requires panic buttons to be installed in e-hailing services to help keep commuters safe and provide quick emergency responses.”
Vehicle owners are responsible for installing the devices, which will assist with crime detection and enable rapid response by law enforcement or tracking companies.
“To roll out the new system, the department will hold workshops with operators and officials across the country starting next week.”
Follow us on our Whatsapp channel, Facebook, X, Instagram and TikTok for the latest updates
