Afrigather Bolt and Uber drivers in Kenya are protesting the gradual implementation of Digital Taxi Hailing Regulation, a brand new ride-hailing legislation within the nation.
The disgruntled drivers down tooled and took to the streets of Nairobi to air their grievances, leaving 1000’s of passengers stranded and compelled to pay larger charges as costs surged because of experience shortage.
The drivers are accusing the nation’s transport regulator, the Nationwide Transport and Security Authority (NTSA), of intentionally slowing down the implementation strategy of the regulation because it was gazetted in June. Rhayn Kanyandong, chairman of The Digital Companions Society (DPS), a coalition of ride-hailing drivers, blamed the NTSA for failing to implement the regulation for over 90 days because it was enacted.
The regulation, which was a product of a earlier driver’s protest, has been within the works since 2016 and seeks to cap fee fees at 18%. Presently, the ride-hailing platforms within the nation, Bolt and Uber, cost 20% and 25% fee per journey respectively.
The gradual implementation course of is unsurprising contemplating that Uber, in a bid to guard its earnings, went to court to annul the regulation.
Uber holds the view that this regulation will derail development and discourage investments within the nation. “The introduction of 18% because the ceiling for allowable fee has the potential to stifle innovation and scale back the petitioner’s financial feasibility of investing available in the market,” Uber’s petition acknowledged.
“Uber will not be in opposition to the NTSA laws; we consider that they are going to be efficient in streamlining the sector. Nevertheless, we’re in opposition to the capping of the fee. It can reduce our income and pressure the corporate to rethink its investments into the nation,” Uber’s Kenya Nation Supervisor, Brian Njao said in an earlier interview.
Protests by ride-hailing drivers in opposition to fee fees are usually not new on the continent. In August, South African drivers protested for a discount of Uber’s fee from 25% to 10%.
