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    Innovation Village | Technology, Product Reviews, Business
    You are at:Home»Africa»Kenya’s transport regulator NTSA Caps Ride-Hailing Companies’ Commission at 15%

    Kenya’s transport regulator NTSA Caps Ride-Hailing Companies’ Commission at 15%

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    By Charity Mbaka on December 6, 2019 Africa, News, Regulation, Ride-hailing service

    The National Transport and Safety Agency (commonly known as NTSA), has drafted a regulation requiring ride-hailing firms operating within the country to charge drivers a maximum commission of 15%.

    The NSTA’s draft regulation aims to bring sanity to the currently unregulated digital ride-hailing sector.

    The lack of regulations around pricing and licensing has led to numerous strikes by drivers.

    NTSA has also required that the companies implement a system to retrieve lost items.

    Should the bill pass into law, ride-hailing services will be required to have three licences: one for the service provider, another for the driver, and the vehicle.

    Related article: Fears As Kidnapping Attempts By Ride Hailing Services Drivers Are Slowly Becoming a Trend

    The bill further stipulates that digital taxi operators should pay an initial US$ 5000 license fee, and a US$ 3000 renewal fee annually thereafter.

    NTSA’s draft regulations will require the drivers to obtain licenses at a US$ 10 fee, with the same amount required to renew the license annually.

    Digital ride-hailing vehicles will be required to pay US$ 35 to apply for, and renew their licenses.

    In addition to these, the NTSA draft regulations state that ride-hailing operators will be required to provide a full-scale color illustration to indicate their public service status. This is similar to what is expected of matatus in Kenya.

    Operators will have five business days to give back the decal stickers should the vehicle stop providing public services.

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    Charity Mbaka

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