Digital Ride-Hailing Services to Pay Licensing Fees in new NTSA Proposal.

NTSA has drafted a regulation where Ride-Hailing firms will charge a maximum commission of 15% per trip.

The NTSA (Operation of Digital Hailing Operators) Regulations, 2019  seeks to plug in the regulation gap for digital ride-hailing services, especially around pricing and licencing. The draft regulation also requires digital ride-hailing companies to implement a system to retrieve lost items.

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According to Techweez, service providers like Bolt and SWVL will all require a license to operate, if the bill passes to law. Digital hailing services will require three licences: one for the service provider, another for the driver, and the vehicle.

License Fees For Digital Ride-Hailing Services

The bill proposes that digital taxi operators pay an initial KShs 500,000 license fee and a KSh 300,000 annual fee to renew the license. The draft laws peg digital taxi drivers licence fees at KSh 1000, charging the same amount for renewal annually. Finally, the draft NTSA bill requires digital hailing service vehicles to pay KSh 3,500 for licence application and renewal.

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Just like Matatus, digital ride-hailing operators will be required to provide a full-scale colour illustration, indicating public service. Additionally, operators have five days to return the decal stickers if a vehicle stops providing public services.