Uber and Bolt headache in South Africa’s most expensive city

The Western Cape mobility department says it won’t issue any more operating licences for e-hailing drivers until further notice, EWN reports.

This comes after the department revealed that it had approved the “full allowed quota” of 3,354 operating licences. Its Provincial Regulatory Entity (PRE) received more than 14,000 applications.

MMC for urban mobility, Rob Quintas, said there was no confirmation when more licences will be granted.

“The City’s Transport Regulations Management branch met with the PRE on 2 April 2025 to discuss metered taxi supply and demand numbers,” says Quintas.

“We are not in a position yet to confirm any number as additional factors to be considered were raised during the session.”

He added that the team is currently working on those aspects and that the department won’t issue any licences until further notice.

According to Quintas, the Western Cape government will wait until the National Land Transport Amendment Act and associated regulations are promulgated into law before announcing the way forward for e-hailing drivers.

On Monday, 31 March 2025, the province’s mobility department revealed that it approved just 3,354 of the more than 14,000 operating licence applications submitted.

Those that didn’t receive operating licences will be unable to operate legally in the province and risk having their vehicles impounded if they were to operate without a licence.

Western Cape mobility department spokesperson Muneera Allie said the applications were judged on a first-come, first-serve basis.

“The PRE proceeded to approve the full allowed quota of 3,354 new operating licences on a first-come-first-serve basis,” said Allie.

“As a result of the quota being reached, the City of Cape Town has indicated that no further operating license applications will be supported.”

However, Western Cape E-hailing Association general secretary Omar Parker accused the PRE of continuing to accept applications as it helps generate revenue.

“What is happening is that the city is generating a lot of revenue from this. Permits are not being released,” said Omar.

“They say they’ve reached their ceiling, they’re in excess, and they can’t release any more, but yet applications are still being taken in. On the other hand, the impoundments are still going on.”

Possible wait for amended National Land Transport Act regulations

While President Cyril Ramaphosa signed an amendment to the National Land Transport Act making operating licences compulsory for e-hailing drivers in June 2024, it could still be a while before the associated regulations are promulgated into law.

This means e-hailing operators without licences in the Western Cape could have to wait a long time to hear about a way forward.

The amendment signed by Ramaphosa enabled ride-hailing operators to apply for operating licences like any other public transport officer rather than using charter permits and meter taxi operating licences.

Former transport minister Sindisiwe Chikunga welcomed its signing.

“Now that the President has signed the Amendment Bill, regulations will be submitted to the office of the State Law Advisor for certification and submitted to the minister for approval,” her department said.

“This Bill amends the National Land Transport Act of 2009 to bring it up to date with developments since the implementation and simplifies various provisions or solves problems that have arisen since the implementation; and makes provisions for non-motorized and accessible transport,” added Chikunga.

“The NLTA now reflects our commitment to a modern, inclusive, and efficient transport system.”