Mobility
Considering the growing role of e-hailing services in urban mobility:
(1) (a) How many e-hailing drivers in the province are still waiting for their operating permits to be approved or issued,
(b) what are the current (i) requirements and (ii) criteria for obtaining an e-hailing permit in the province,
(c) how many e-hailing drivers are officially registered and operating within the province,
(d)(i) how many e-hailing vehicles have been impounded over the past year and (ii) what were the reasons, (e) what is the process for e-hailing drivers to reclaim their vehicles once impounded;
(2) whether his Department is currently engaging with e-hailing platforms and operators; if so, in what ways does his Department support and facilitate the growth of the e-hailing industry?
12(1)(a) It is important for me to point out that in terms of the National Land Transport Act (Act no.5 of 2009)(“NLTA”), an e-hailing service is seen as a sub-category of a metered taxi service. The definition of a metered taxi service as enshrined in section 1 of the NLTA stipulates that the vehicle is available for hire while roaming by telephone or otherwise. This includes the electronic hailing of vehicles. There are currently 5646 valid operating licences authorising the provision of metered taxi services. All of these operating licences can be used to provide e-hailing services.
This position will change once the National Land Transport Amendment Act (“NLTAA”)(Act no.23 of 2023) comes into operation. The NLTAA creates a separate passenger category for e-hailing services. Please note that the NLTAA was signed into power by the State President on 11 June 2024 but is has not yet commenced. It will only come into operation once the Second National Land Transport Regulations (dealing mainly with e-hailing services) are promulgated.
Records extracted from the Public Transport Regulation System shows that there are currently 384 metered taxi applications pending with the Western Cape PRE.
12(b)(i) The PRE’s requirements in respect of operating licence applications are set out in section 62 of the National Land Transport Act. This includes, inter-alia:
- a valid tax clearance certificate from the South African Revenue Service certifying that his, her or its tax affairs are in order;
- a signed statement to the effect that he or she or it will comply with labour laws in respect of drivers and other staff, as well as sectoral determinations of the Department of Labour;
- a current roadworthy certificate, which was issued for the vehicle not earlier than the prescribed point in time, or a duly certified copy of such a certificate, as well as proof that the vehicle is properly licensed and has a national information system model number allocated to it; and
- any other proof, information or document as prescribed or required by the relevant entity.
The PRE is also required to consider:
- Whether the vehicle or type of vehicle by means of which the service is to be operated, is suitable for that purpose;
- Whether the vehicle has a current roadworthy certificate, which was issued for the vehicle not earlier than the prescribed point in time, or a duly certified copy of such a certificate, as well as proof that the vehicle is properly licensed and has a national information system model number allocated to it;
- Whether the vehicle is properly marked in terms of the regulations;
- The existence of any relevant bylaw, regulation, prohibition, limitation or restriction;
- whether the applicant has any previous conviction for an offence relevant to the operation of public transport services, or of a prescribed type; and
- the ability of the applicant to operate the service for which the operating licence is sought, in a manner satisfactory to the public;
12(b)(ii) As mentioned, the municipality determines the need for services when they update the Integrated Transport Plan. The City of Cape Town for example undertook a comprehensive review of its metered taxi demand model in May 2025 as part of its ongoing efforts to ensure a balanced, efficient and legally compliant metered taxi and e-hailing sector. Based on the updated demand assessment, the City, as the Transport Planning Authority, has confirmed the need for 6,600 legal metered taxi and e-hailing operators in the Cape Town metropolitan area. The Western Cape Provincial Regulatory Entity (PRE) found that 5,494 valid operating licences are currently registered on the Public Transport Regulation System (PTRS). This represents a shortfall of 1,106 operating licences to meet current demand.
The criteria will differ from municipality to municipality. The City of Cape Town
will for example only support an application for a metered taxi operating
licence if there is a demand for the service as per the ITP and the applicant
can provide the following documentation:
- Proof of home ownership (full title ownership/Utility Bill) and/or rental agreement for the property to be provided as part of the application;
- Where the applicant is a tenant/resides with family/friends/renting, the owner(s) of the said property to submit an affidavit stating that the applicant is a resident at the address and/or that permission has been granted to him/her to utilise the allocated parking bay for commercial use, together with a utility bill from the owner;
- In the case of a unit within a block of flats or apartments with a sectional title scheme, the body corporate must confirm that a parking bay is allocated to the applicant and that a business can be conducted from the property indicated as a base;
- In the case of a commercial or retail property – including hotels or guest houses, a formal agreement between the owner of the property and the applicant must accompany the application together with the utility bill in the name of the owner.
- Applicant(s) using a single residential base, will only be allowed a maximum of one application as per City of Cape Town’s by-law.
- Two applications per applicant may only be considered when the zoning scheme regulations for the said residential property allows for more than 1 commercial vehicle or where the applicant is in a possession of a regulation departure with more than one commercial parking allocation for the said residential property; and
- Similarly, two applications per applicant will be considered where the applicant is in possession of a formal lease agreement for parking at a commercial facility specifically used for public transport purposes or where an owner of another residential property has granted the applicant permission to use the allocated parking at his/her residence for commercial use.
12(c) There are currently no requirement for metered taxi/e-hailing operators to register with the Department of Mobility or the Office of the Provincial Taxi Registrar. This information can be obtained from e-haling platform providers.
12(d)(i) A total of 213 e-hailing vehicles have been impounded
12(d)(ii) Reasons for impoundment:
- No permit
- No valid operating license
- Contrary to conditions and operating license
- Contempt of court
12(e) To reclaim an impounded e-hailing vehicle, the driver or owner must follow the prescribed legal procedure including attending court if required to dispute fine or representation. Present valid documentation and identification at the impoundment facility, proof of ownership, registration documentation, valid operating license and payment of applicable impoundment fees. Once all compliance criteria are met the vehicle will be released from impoundment facility.
12(2) Yes, the department regularly engages e-hailing platform providers such as Uber, Bolt and recently In-Drive. The following aspects were raised with the app providers to enhance the current e-hailing services:
- Safety – the review of the current cash-based to an exclusive electronic payment system. The development of a specific app that would allow for exclusive e-hailing software and not the cell phone which subjects the driver to all sorts of danger;
- App providers were also discouraged from allowing so-called partners who is not in possession of an operating licence to operate on a receipt basis;
- App providers were alerted to the new proposed NLTA Amendment Act and the need for collaboration with the Provincial Regulatory Entities with regard to the provision of management information and required reports that would enhance the overall regulatory environment of the e-hailing service,
- The department has been facilitating engagements between app providers and municipalities such as, Stellenbosch, Drakenstein, Overberg and Malmesbury to provide data that would allow them on a similar basis as City of Cape Town, to determine demand,
- Engagements have also been on-going with prospective app providers in an effort to provide more options to operators as the current foreign based app providers is seen as having no regard for the operators and drivers in lieu of its sub-economical survival tariffs.