The Lagos State Government has revised the regulations for cab-hailing operators.
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The government had said in a previous document that operators with less than 1,000 vehicles were charged N10 million as operational fee while those with more than 1,000 vehicles were to pay N25 million.
Also, ride-hailing operators with less than 1,000 vehicles are expected to pay an annual renewable fee of N5 million, while those with more than 1,000 will pay N10 million.
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However, Frederic Oladeinde, Commission for Transportation, after a meeting with stakeholders on Thursday, announced a review of the regulations.
Also present at the meeting were Babajide Sanwo-Olu, Governor of Lagos; Gbenga Omotoso, Commissioner for Information and Strategy; Idris Sonuga, National President of Professional E-hailing Drivers and Private Owners Association (PEDPA), as well as representatives of Bolt, Uber and BMP Car.
Oladeinde said the operational licence fee has now been reduced by 20 per cent and the 10 per cent charge on every trip replaced with a N20 flat fee for road improvement.
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He said all operators must have comprehensive insurance which will cover drivers and passengers. He added that drivers have been given 90 days to get proper documentation in line with the new regulations.
Operators are also expected to conduct thorough background checks on drivers to ensure quality service delivery.
“Regulating is to create a level-playing field for different operators,” the commissioner said.
“When you have different operators in the market, it drives the price down and one of the agreements that we had in our meeting is to ensure that this road fund which we are charging goes to the operators not the drivers.
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“And we will be regulating the operators, so government is there to ensure that we do not pass the price to the customers and that’s why we are regulating.”
“The idea of e-hailing companies using a car of three years is for what we call ‘corporate cabs’, and this has nothing to do with the e-hailing business,” he said.
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“We are not asking the e-hailing companies to release detailed data. All we are asking from them is data for trip movement, so that we can calculate the right charge and levy due to the government. This data is to be supplied every week,” he said.
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The new guidelines will take effect from August 27, 2020.
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