Uber, Bolt drivers switch service provider over regulatory non-compliance
Uber and Bolt-allied drivers have rebelled against the two service providers, citing non-compliance with new regulations by the government aimed at streamlining the transport sector.
In a statement, the cab drivers, under the aegis of Organisation of Online Drivers advised their clients to instead locate them on HAVA Cabs, Little Cab and other local cab hailing applications. “We as Nairobi Organisation of Online Drivers, we’d love to notify the public to the regulations which were published on the 20th of June 2022 by the Cabinet Secretary of Transport and Infrastructure, we’ll not be able to operate under the services of Uber and Bolt since they have not complied with the published regulations,” the operators said.
They are accusing the two companies of not capping commission charged on drivers to 18 per cent per trip, as stipulated in the new regulations, which Imran Manji, Uber’s Head of East Africa said can lead to stifling business.
Commission reduction
“Some aspects of these regulations, such as the commission reduction and requiring companies to be registered in Kenya are not conducive to doing business in Kenya,” Manji said. Currently Uber, Bolt, and Little charge 25, 20, and 15 per cent of the fare respectively.
Bolt had raised the partner commission fee from 15 per cent to 20 per cent in September 2019, while Little’s corporate service raised the charges to 19 per cent in 2020, citing rising operational costs.
Taxi partners have long criticised the charges as unsustainable.
