Regulatory Overhaul for Lagos E-Hailing Services Suggested by Key Players
In the bustling commercial hub of Lagos, Nigeria, a call for a comprehensive review of the 2020 e-hailing regulations has gained momentum. The Lagos State Private Transportation Network Operators Association (LSPTNOA) and other stakeholders are pushing for changes, aiming to create a more equitable environment for the city's e-hailing ecosystem.
The regulations, primarily designed to benefit the state's Internally Generated Revenue (IGR), have been criticised for prioritising revenue over driver protection. Recent arrests of Uber and Indrive drivers for non-compliance with API regulations have added fuel to this argument.
One of the key concerns is the mandatory annual checkups, which drivers must cover at their own expense. Comrade Ayoade, a union leader, has criticised this requirement, highlighting economic challenges and unfavourable pricing mechanisms. He also noted the government's inconsistent enforcement of regulations.
The state is focusing on accessing Uber's database to charge Road Maintenance Fees, further emphasising a revenue-centric approach. This has led to concerns about the regulations' lack of provisions for driver benefits.
The proposed review aims to address these gaps. Developing a comprehensive security mechanism for drivers is one of the key areas of focus. Implementing provisions for drivers' health insurance is also under consideration.
An agreed-upon pricing mechanism is another focus, with the aim of reducing the commission charged by cab-hailing companies. Arbitrary driver activation and deactivation, high commissions, and low trip fares are issues faced by drivers, and the review seeks to address these concerns.
The new vehicle requirement, which mandates e-hailing vehicles to be no older than three years, has also been a point of contention. Comrade Ayoade has criticised this, citing economic challenges.
Algorithmic decision-making by app companies is another concern for drivers. The review process presents an opportunity to address these issues and create regulations that balance the interests of the state, e-hailing companies, and drivers.
Creating a more equitable environment for Lagos's e-hailing ecosystem is the ultimate goal of the proposed regulatory review. By addressing the concerns of drivers and ensuring fairer regulations, the city can continue to thrive as a hub for e-hailing services.
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