Santaco welcomes amendment to laws governing e-hailing services

The South African National Taxi Council has welcomed the move to institute legal parameters for e-hailing associations. Picture: James Mahlokwane

The South African National Taxi Council has welcomed the move to institute legal parameters for e-hailing associations. Picture: James Mahlokwane

Published Jun 19, 2024

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E-hailing services will now be able to apply for operating licences and have to abide by the same laws that govern taxi associations and other public service transport operators.

This comes after President Cyril Ramaphosa signed into law the amended National Land Transport Act (NLTA).

The move has been welcomed by the South African National Taxi Council (Santaco).

National spokesperson, Mmatshikhidi Rebecca Phala, said Santaco is relieved at the signing of the amendment.

“The lengthy period it took to get the bill signed got us warring and led to unfortunate clashes and the infiltration of criminality into our daily operations, and so we welcome that there has been some movement in this regard,” Phala said.

She said the introduction of e-hailing services within the road-based passenger transportation sector has been incredibly disruptive, leading to loss of business for the minibus and meter taxi industry.

“The manner in which the mode was introduced, was clumsily handled and has led to the loss of income from operators and the greater sector, with majority of the profits benefiting foreign-owned developers at the expense of ordinary South Africans with valid operating licences and families to feed,” Phala added.

She said Santaco looks forward to the release of regulations of the amendment bill, which is still being worked on by the Department of Transport.

Phala further called for government to throw its weight behind locally developed e-hailing services to ensure passenger safety.

The move has been welcomed by Department of Transport Minister, Sindisiwe Chikunga.

Chikunga said this brings to an end a 13-year wait for the amended NLTA in order to accommodate the e-hailing services and the criminal activities they have been subjected to over the years, due to the unfair accusations of route encroachment.

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