This archive report was first published on 5 December 2019.
December 5, 2019, marked the beginning of a new era for digital taxi drivers in Kenya. The National Transport Authority (NTSA) has proposed regulations that will require taxi drivers using digital platforms to pay tax and obtain licenses.
The regulations, currently in the public participation phase, will also cap the maximum commission that the owners of the cab-hailing platforms can make at 15 per cent. This move is expected to benefit drivers who have in the past gone on strike to push for a downward review of the commission rates.
According to the NTSA (Operation of Digital Hailing Operators) Regulations, 2019, all cab-hailing firms will be required to have a physical presence in the country and be registered by NTSA as digital hailing services. They are currently registered as transport companies.
The proposed laws also limit cabs that have been licensed as digital taxis from operating as their traditional counterparts. The digital cabs will have identifying markers akin to the yellow airport taxis.
“It shall be a condition of their licence that digital hailing service drivers are prohibited from picking up passengers at cabstands, soliciting rides, and responding to street-hails,” read the regulations in part.
Uber, one of the dominant players in the industry, has expressed openness to regulation but called for consultation between the government and sector players.
For More of This and Other Stories, Grab Your Copy of the Standard Newspaper.
