The Department of Transport has officially gazetted the long-awaited National Land Transport Amendment Act, along with its amended regulations.
The Act introduces a new transport category, e-hailing services, as a recognised mode of public transport.
This move affirms and formalises a sector that was previously treated as operating outside the law by some existing operators.
It also requires all public transport operators, including e-hailing providers, to hold valid operating licences to ensure services remain authorised and safe.
In addition, the Act sets out standards for quality and security that e-hailing platforms must meet to protect passengers and drivers alike.
“Each vehicle should be branded or carry a sign indicating that it is an e-hailing vehicle.
“Commuters must verify that vehicle and driver details appear in the app, and if not, should exercise precaution,” the statement read.
According to the department, under the new rules, app developers who permit users to use their apps without an Operating License risk a fine of up to R100,000 or up to two years in jail.
“All apps must also be registered with the regulators.”
Panic buttons
In addition, the Act also requires panic buttons to be installed in e-hailing vehicles to help keep commuters safe and provide quick emergency response and that vehicle owners are responsible for making sure these are installed.
“The panic button for commuters will assist with crime detection and enable a rapid response by law enforcement or tracking companies.
“Commuters are also required to ensure that the vehicle and driver are compliant. Drivers are required to have the requisite documents to be eligible for compliance.”
License compliance
Meanwhile, the Provincial Regulatory Entity (PRE) offices will ensure compliance upon processing all applications before drivers can be issued an operating license.
In addition, e-hailing operators, when applying for an operating license, are subjected to a standard operating license application fee.
“Other operational costs are outside of the Department of Transport’s purview.”
This move will also see the companies being required to register and comply with company laws in South Africa under the Department of Trade, Industry and Competition (DTIC) and South African Revenue Services (Sars), and there may be other requirements with costs.
“The department will hold workshops to share this information with all operators and officials across the country starting from this week.”