The City of Cape Town’s Urban Mobility Directorate, in collaboration with the Western Cape government’s Provincial Regulatory Entity (PRE), is initiating a two-phase process to allow for the renewal and launch of new operating licences to meet the demand for metered taxi and e-hailing services within the city.

The city in May concluded a review of existing operating licences, service needs, and recent legislative and policy changes.

Based on an updated demand assessment, it has confirmed the need for 6 600 legal metered taxi and e-hailing operators in the Cape Town metropolitan area.

The Western Cape PRE found that 5 494 valid operating licences are currently registered on the Public Transport Regulation System (PTRS).

This includes all sub-categories of metered taxi operations – rank, base and e-hailing services – and represents a shortfall of 1 106 operating licences to meet current demand.

However, a portion of this figure also comprises expired or lapsed operating licences, where the licence holders have not applied for renewal within the required timeframe.

The PRE has identified 260 such expired operating licences and the holders of these will be notified of their status via the PTRS.

This means that the remaining 840-odd licences are new licences that are now available for first-time applicants.

To address this gap, the city and the PRE are implementing a two-phase process.

Phase 1 addresses the late renewal applications for licences that expired between March 1, 2023, and June 1, 2025.

Operators with expired licences must apply by June 30 for a new operating licence in lieu of a lapsed one.

Phase 2 addresses new applications for the 840 new licences available, starting July 1.

The City of Cape Town says a maximum of two applications per applicant (individual or company) may be submitted.

New licences will be valid for two years and renewable for seven years, if operators demonstrate continuous service.

The transfer of licences will be scrutinised to prevent resale abuse, and applicants must provide proof of vehicle ownership (if applicable) and may submit e-hailing platform records to demonstrate existing operations.

Successful applicants will have to complete vehicle inspections at designated testing stations.