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Taxis seek Yango and Indrive ban

by editor
February 23, 2024
in Latest
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The Namibia Transport and Taxi Union (NTTU) and the Namibian Bus and Taxi Association (NABTA) are intensifying efforts to ban the operations of ride-hailing services such as Yango and Indrive in the country.

They have argued that these services are not subject to the same regulations as traditional taxis and that this gives them an unfair advantage.

The NABTA has initiated discussions to seek legal opinion regarding the compliance status of ride-hailing platforms like Yango, Indrive, and Bolt within Namibia. 

NABTA Secretary-General Pendapala Nakathingo raised the Association’s concern regarding the operations of these entities and their unfair advantage.

“At this particular moment we want to do our part and we want to make sure that the taxi industry becomes safer, efficient and reliable. This unfair competition and illegal conduct in the form of a new intervention cannot be allowed to grow, thus we need to attend to it whilst at the beginning,” Nakathingo told The Brief.

Nakathingo underscored the urgency of resolving the matter swiftly, stating: “Last year we engaged with Yango management where we have a good relationship and have raised this concern with them that we appreciate the innovation, but the issue of ensuring their services with illegal individuals is not appreciated and needs to be attended urgently.”

NTTU President Werner Januarie stressed the absence of operator licences among many of these online operators, highlighting a significant regulatory gap.

“The biggest problem here is with these operators that are doing online and all these things, maybe the technology is good that they are using. But what we find out is that their operation is not covered by law and regulation because the majority of them are operating without operating licences,” he said.

Januarie also emphasised the possible consequences of unregulated operations, expressing concern that these services could become increasingly uncontrollable and beyond the oversight of both the government and relevant organisations.

He further expressed dismay over the lack of consultation with the line Ministry.

Co-founder and Operations Manager of LEFA passenger transportation service, Kalipi Aluvilu said other companies’ lack of adherence to regulations certainly provides them with an unfair competitive edge.

“Unlike other platforms, which allow anyone with just a driver’s licence and a vehicle to operate, we prioritise compliance, understanding the costs and efforts involved. Non-compliance gives other platforms an advantage, enabling them to keep fares low by avoiding the expenses associated with licensing and insurance,” he said.

Aluvilu said to operate as a transport operator, drivers need a PDP (Professional Driving Permit) and vehicles require a road carrier permit and their drivers on the platform are compliant, having invested time and money in obtaining the necessary licences.

“Yes, we are aware of the concerns raised by the taxi and buses association regarding the legality of online hailing taxi services. However, LEFA was not mentioned because all our drivers comply with the legal transportation requirements outlined in the Passenger Transport or Road Transport Act,” he said.

The Ministry of Works and Transport spokesperson Julius Ngweda, while addressing concerns from the taxi association, acknowledged the issue, noting “while many ride-hailing drivers have obtained permits, some may still be operating without compliance.”

He added that the unease among traditional taxi operators stems from the convenience, speed, and reliability offered by ride-hailing services.

Confirming the status of ride-hailing drivers, Ngweda says “the majority have acquired the necessary permits as required by the Namibian Transport Board.”

However, he admitted instances of non-compliance, stating that some traditional operators feel uncomfortable as their business is affected by the ease with which ride-hailing services attract customers.

Responding to concerns raised by NAMTA, Ngweda says “we acknowledge NAMTA’s concerns and stress the need for substantive dialogue to address the changing dynamics in the transportation sector”. 

Ngweda reiterated the Ministry’s commitment to upholding the regulatory framework governing public transport in Namibia. “It is imperative to ensure all individuals providing passenger transportation services comply with the law,” he said.

Bolt this month become the latest entrant to the Namibian ride-hailing market, having launched a pilot service, with plans to onboard 200 drivers while offering zero commissions for the next six months.

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