E-hailing drivers in South Africa will no longer be free to operate across the country under new transport rules. Licences issued to Uber, Bolt and other drivers will now specify a geographic area, limiting pickups and drop-offs to the province where the licence is registered.
The change forms part of sweeping regulations under the amended National Land Transport Act (NLTA), which took effect in September. Drivers dropping off passengers outside their licensed province must return empty, as they are barred from accepting new fares across borders.
The Department of Transport explained that the restrictions are designed to bring order to an industry that has long operated in a legal grey zone. Officials argue that tighter rules will help improve safety, reduce friction with minibus taxi operators, and create consistency across provinces.
Yet, the new rule could reshape how thousands of drivers work. It may also affect commuters who rely on cross-provincial travel, including those in border regions of Gauteng, Mpumalanga and North West.
These sweeping changes come after years of legal ambiguity. The e-hailing sector has existed in a “grey area”, operating between formal regulation and informal practice. Conflicts with traditional taxi associations have sometimes become violent.
In a recent case, a driver was shot dead outside Maponya Mall. Some vehicles were also torched.
Drivers have expressed both relief and anxiety. Some welcome the safety measures, such as panic buttons and visible branding, seeing them as important for protecting both drivers and passengers. Others worry about being forced to operate solely in assigned jurisdictions, saying this could hurt earnings. Fuel costs, platform commissions, and competition already squeeze margins.
Branding vehicles is particularly controversial. For drivers using personal cars, logos or signage can make them more easily identifiable — potentially risking safety in areas with crime or where tensions with taxi operators are rife.
There are also concerns about delays, bureaucratic hurdles and unclear implementation details. For example, what kind of panic button qualifies? Will provinces have sufficient capacity to process licences in a timely?
How will oversight be enforced in more remote areas?
As the 180-day compliance window begins counting down, the government, e-hailing operators, and drivers will need to coordinate closely. Workshops to brief regulators and operators are already underway.
Regulators must also ensure that apps are registered and that enforcement is consistent across provinces. Passenger experience will also be under scrutiny, especially for rides that cross provincial lines.
Passengers may see fares rise on longer cross-provincial journeys or find fewer drivers willing to make them. On the other hand, better safety and regulation might increase trust in the system.