The Department of Transport has officially gazetted the National Land Transport Amendment Act (NLTA), recognising Uber, Bolt, and other e-hailing platforms as part of South Africa’s public transport system. But rather than celebration, the move has sparked backlash, with some in the sector criticising the regulations as short-sighted, reactive, and lacking vision.
The Act, gazetted on September 12, comes after a 13-year wait. First passed by Parliament in 2020, it was sent back by the President over constitutional concerns, revised, and only now signed into law.
Under the new law, all public transport operators, from minibus taxis to metered taxis and e-hailing services, will require operating licenses. The intention, according to the government, is to authorise services, ease long-standing tensions, and strengthen commuter safety.
Transport Department spokesperson Collen Msibi said the NLTA places the entire land transport sector under one framework, bringing long-overdue clarity.
“The amendments introduce clearer rules for all operators, most notably by officially recognising e-hailing platforms such as Uber and Bolt and simplifying the licensing process. This is expected to improve commuter safety and reduce tensions between operators,” he said.
Among the key changes, all e-hailing vehicles will now carry visible branding or signage, while operating licenses will stipulate the geographic areas in which drivers may operate. To boost safety, panic buttons will also become mandatory, enabling swift emergency responses from law enforcement or private tracking companies.
“Many tracker providers already offer panic button systems, so it will be up to vehicle owners to ensure installation,” Msibi explained.
“These buttons will be crucial in detecting crime and mobilising rapid responses. At the same time, commuters should also check that both the driver and the vehicle are fully compliant,” he said.
Msibi stressed that law enforcement will strictly monitor compliance. MECs will have powers to impound unlicensed or unroadworthy vehicles, while app developers that allow unlicensed operators onto their platforms could face fines of up to R100,000 or two years’ imprisonment.
However, while the government maintains that the Act will bring order, industry stakeholders argue the opposite.
The National E-hailing Federation of South Africa (NEFSA) warned that the regulations risk worsening tensions because of vague and impractical provisions.
Speaking to The Star, NEFSA Head of Presidency Vhatuka Mbelengwa criticised the rule requiring drivers to return to their pickup zones after dropping off passengers.
“(The new act) has the potential to worsen the situation, because the regulation is not clear. The suggestion that drivers must return to a pickup area or designated point is a highly regressive position. It makes no sense. It shows no appreciation or understanding of the kind of disruption that e-hailing has brought about. And this is an interpreting response; it just seems to try to make things operate in a manner convenient for meter taxis. And that market's been destroyed now,” he said.
Mbelengwa further raised concerns about accountability, particularly around costs and oversight.
“It is unclear who the custodians are, or who is responsible for the associated costs. For example, with vehicle branding, vetting processes, and departmental fees, who bears the financial burden? More importantly, which department or regulatory body is tasked with ensuring these requirements are properly enforced and monitored?”
He revealed that NEFSA had written to the Department of Transport as early as 2024, requesting engagement, but despite acknowledgement, no meaningful consultation has taken place.
“Although we welcome that this process has started, we are concerned that rushing everything could carry ill intent. This is a critical process. We’d like to see a deeper reflection on the role of technology in transforming transportation, and a greater appreciation of how regulators must use technology for oversight,” Mbelengwa said.
Echoing these concerns, Mlungisi Mabuya, president of Pretoria West E-hailing, criticised the NLTA for being imposed without consultation.
He warned that the regulations expose drivers and riders to danger rather than protecting them, and could collapse the sector in the same way metered taxis were undermined.
“Government is dancing to the taxi industry’s tune; it’s all about money and fear, not about the impact on drivers or riders.”
Mabuya further questioned the rationale behind mandatory branding and panic buttons, highlighting the double standard in how taxis and small business vehicles are regulated.
He warned that these measures could disorganise the sector, make drivers liable, threaten jobs, and push some closer to crime, despite previously improving safety for riders.
“The regulations are turning us into soft targets while taxis face little scrutiny. Jobs will be lost, riders will pay more, and drivers will be put at risk,” Mabuya said.
The Department of Transport previously stated that it will hold workshops to share information with all operators and officials across the country.
The Star
masabata.mkwananzi@inl.co.za