Sylvia Duruson
President Cyril Ramaphosa has signed two significant bills into law, marking a transformative moment for South Africa’s transport sector. The National Land Transport Amendment Bill (NLTAB) and the Economic Regulation of Transport Bill aim to revolutionize the country’s transport landscape, with particular emphasis on the ride-hailing industry.
The NLTAB, which amends the National Land Transport Act of 2009, introduces crucial updates to definitions and provisions. It addresses non-motorized and accessible transport, empowers provinces and municipalities to contract public transport services, and expands the Minister’s regulatory authority.
At the 42nd Southern African Transport Conference, newly appointed Minister of Transport Barbara Creecy highlighted the fragmented nature of public transport in South Africa. She emphasized the need for safe, reliable, affordable, and sustainable public transport solutions.
The Economic Regulation of Transport Bill focuses on fostering economic growth through a more efficient transport sector. It establishes a Transport Economic Regulator to oversee complaints, monitor compliance, and enforce regulations within the industry.
A key aspect of the NLTAB is its recognition and regulation of ride-hailing services. This development eliminates previous ambiguities and allows ride-hailing operators to apply for operating licenses like other public transport providers. The bill creates a new category of operating licenses and imposes obligations on technology providers to prevent illegal operators on their platforms.
The amendments also strengthen regulations by empowering Provincial Regulatory Entities to withdraw or suspend operating licenses for non-compliance. The bill addresses public complaints and passenger treatment, including provisions for color coding and ensuring law enforcement officials have no business interests in public transport operations.
Weyinmi Aghadiuno, Acting Head of Regulatory & Policy Africa at Bolt, expressed optimism about these developments. She noted that the formalization of the ride-hailing industry and the introduction of specific regulations are positive steps that will address existing problems and enhance overall transport service quality.
The new legislation is expected to streamline processes, enhance regulatory efficiency, and create a more harmonious relationship between different transport service providers. It aims to reduce conflicts between metered taxi and ride-hailing drivers while maintaining high standards across the industry.
While the effective implementation date is yet to be announced, these bills represent a significant stride towards a more organized, efficient, and user-friendly transport ecosystem in South Africa. The changes are anticipated to benefit both service providers and consumers, potentially attracting more investment and innovation in the sector.
The recognition of ride-hailing services as a legitimate part of the transport industry is particularly noteworthy. It not only provides legal clarity but also opens up new opportunities for growth and development within this rapidly evolving sector.
As South Africa moves forward with these reforms, the transport industry is poised for substantial improvements. The new regulatory framework is expected to foster healthy competition, improve service quality, and ultimately benefit the South African public with more reliable and efficient transport options.
The success of these reforms will depend on effective implementation and ongoing collaboration between government bodies, transport providers, and technology companies. As the country enters this new era of transportation, all eyes will be on how these changes unfold and their impact on South Africa’s urban mobility landscape.
