Some players in e-hailing industry unsure how new legislature could affect rider pricing
Earlier in June, President Cyril Ramaphosa signed the National Land Transport Amendment Bill and the Economic Regulation of Transport Bill into law.
e-hail, taxi driver. Image: Thibault Penin on Unsplash
JOHANNESBURG - Some players in the e-hailing industry say they are in the dark about how recently signed legislature could affect pricing for riders as the industry sees a major shakeup.
Earlier in June, President Cyril Ramaphosa signed the National Land Transport Amendment Bill and the Economic Regulation of Transport Bill into law.
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While the industry believes the sweeping changes are a major win, some company leaders are still unclear about the full impact of the laws.
Under the new laws, e-hailing drivers will now be required to obtain national operating licences to work, replacing the existing charter permits.
The economic regulation of the transport industry includes price controls such as tariffs, charges, fees and tolls.
Both laws form part of a bid to streamline transport regulations and are expected to see an efficient and cost-effective transport system to improve access and support economic growth.
But business development specialist for Africa at inDrive Ashif Black has noted some unanswered questions about price setting and licence allocation.
“We at inDrive eagerly await detailed guidelines to understand the full scope of the changes. We are ready to collaborate with national, provincial, and local authorities to facilitate compliance and support the rollout.”
There are also questions about whether drivers will see a positive impact on their earnings.