Proposed approach to address the regulation of metered taxi and e-hailing services within the ethekwini municipality

Abstract

The metered taxi and e-hailing services sector currently plays a significant role as part of the South African public transport industry. In keeping with global trends, it is evident that these services are gaining more prominence going into the future. However, the entities within this sector are experiencing conflicts and challenges with regards to licencing, enforcement, competition over destinations and commuter base, among other challenges. These challenges have unfortunately led to the manifestation of violent engagements between operators, damage to vehicles, road infrastructure, and compromised commuter safety. The eThekwini Transport Authority (ETA) undertook to address these challenges within the eThekwini Municipality (EM). From status quo assessments, it was found that the current challenges being experienced by this sector are essentially due to the current gaps in the prevailing legislation, which governs the entry, operations, and enforcement of the sector. To address the current challenges on the ground, a regulatory framework is required to formalise this sector. For the development of the required regulatory framework, a process is required which enables the integration and involvement of all role players including all tiers of governmental departments, business entities, public transport role-players and stakeholders, as well as civil society in general. The required process would need to be able to both collect the wide-ranging information to understand the nature of the sector, and then use the information to inform decision-making. A staged/phased Expression of Interest (EOI) process has been proposed by the ETA to achieve this objective. Through this process, all existing and prospective operators will be identified, information collected about the existing services and operations; analyses done to determine market demand and supply and prepare regulatory requirements which can be enforced within the Municipality. The EOI that the ETA has developed will be done mainly as an on-line activity. The EOI has to date been presented to role-players from the Metered Taxi and E-hailing services sector, who have welcomed and supported the proposed process. The proposed methodology was approved for implementation by the eThekwini Municipality’s Council. This approach to address the regulation of a dynamic and complex service industry such as the The 40th Annual Southern African Transport Conference – 4 to 7 July 2022 ___________________________________________ Metered Taxi and E-hailing sector is a first for South Africa, and it is expected to provide fruitful insights.