Uber, Bolt, Others Get Strict Regulations From Lagos State Government

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Uber, Bolt, Others Get Strict Regulations From Lagos State Government
Lagos government to enforce strict regulations on Uber, Bolt, others

Regulatory documents have been released by the Lagos State Ministry of Transportation for ride-hailing companies like , , and others. They are set to be enforced from August 20, 2020.

From the aforementioned date, service entities in the city with less than 1,000 drivers are expected to pay a N10 million license fee, while those with over 1,000 drivers are to pay N25 million.

Subsequent renewals are pegged at N10 million for those with more than 1,000 drivers and N5 million for those with less.

Uber, Bolt, Others Get Strict Regulations From Lagos State Government

Taxi and App Operators with 50 cabs or less are expected to pay a N5 million license fee, while those with more than 50 cabs are to pay N10 million. The former will pay a yearly renewal of N1.5 million while the latter will renew at N3 million.

Other provisions are listed below:

  • All Operators of e-Hailing Taxi Services must pay the State Government 10% service tax on each transaction paid by the passengers to the operators.
  • They must commence the renewal process 3 (three) months before the expiration of the existing licence
  • They must have a quarterly meeting with the Ministry of Transportation for operational updates and feedback
  • All operators of e-hailing taxi services must give the Ministry access to their database

The government is creating an exchange service where these licences can be traded. This seems particularly interesting given the fact that the regulations state that licences will only be given to taxi operators under a franchise.

Taxicab Requirements

Uber, Bolt, Others Get Strict Regulations From Lagos State Government
A taxi driver in Lagos State

The Lagos State Government states that all taxicabs must undergo a thorough inspection according to the State’s Road Traffic Law and under a special Taxicab inspection protocol. A vehicle must meet the following conditions:

  • It must be brand new
  • Where the vehicle is not new, the vehicle must be within the first three (3) years of its manufacture as specified by the manufacturer
  • The capacity of the vehicle must not be less than 1.3cc
  • It must have a completed, signed, and dated safety features compliance form prescribed by the Ministry
  • The taxicab shall be equipped with a taximeter approved by the Ministry

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