An operating licence authorises a public transport service — carrying passengers or goods for reward. It is issued through a provincial regulatory entity under the National Land Transport Act 5 of 2009, and it is the legal requirement that e-hailing, taxi and goods operators most often overlook.

Operating without one exposes the vehicle to impoundment and the operator to penalties, and platform registration or a client contract is not a substitute.

Driver or Vehicle Requirements at a Glance

What an operating licence application generally requires.

Licence and Eligibility Requirements

Confirm the current process with your provincial regulatory entity. Application forms, fees, processing times and requirements are set provincially and differ between provinces, and they are revised. Municipal transport authorities are involved in some areas.

The licence attaches to a vehicle and a service. It authorises a specified operator to run a specified service with a specified vehicle, and changing any of those — a new vehicle, a different service, a different operator — generally requires an application rather than a notification.

Start early. Applications take months in many provinces, and in some areas demand exceeds the licences available for the service concerned. Applying before buying a vehicle is the correct sequence; buying first and discovering you cannot obtain a licence is the expensive one.

Different services have different licences. Metered taxi and e-hailing services, minibus taxi services, charter and tour services, scholar transport and goods transport are treated differently. Establish which category applies to what you intend to do.

Conditions attach to the licence — routes, areas, capacity, and the type of service. Operating outside them is a contravention even where you hold a licence.

Vehicle, Inspection and Safety Requirements

Impoundment is the practical enforcement. A vehicle operating a public transport service without the required licence can be impounded, with release fees and the loss of earnings while it is held. That falls on the operator and, at the roadside, on the driver.

The vehicle must be roadworthy and licensed, and vehicles used for public transport are subject to periodic roadworthy testing. Confirm the frequency with your licensing authority.

The driver needs the correct licence code and a professional driving permit in the applicable category — passengers, goods or dangerous goods. The operating licence covers the service; the permit covers the driver.

Insurance must cover commercial use. A personal motor policy generally excludes it, and an accident carrying passengers or goods for reward under a personal policy is likely to be rejected.

Passenger capacity conditions matter. Where a licence authorises a stated capacity, carrying more is a contravention and it voids the insurance position.

Keep the licence in the vehicle along with the other documents, as the regulations require.

Documents, PrDP or Supporting Evidence

What is generally required for the application.

Registration or Application Process

Lodge the application with the provincial regulatory entity through the channel it specifies, and confirm what supporting documents apply to your service category before submitting.

Follow up in writing and keep the reference. Applications take time and a file that stalls is easier to move with a paper trail.

Never buy an operating licence. Licences are issued to a named operator for a named vehicle, and any arrangement to use someone else’s licence, or to buy one, is unlawful. It also leaves you without a lawful position at the roadside, which is where it matters.

Never pay anyone to expedite an application. Anyone offering to accelerate a decision for payment is soliciting a bribe, which is a criminal offence for both parties under the Prevention and Combating of Corrupt Activities Act 12 of 2004. Report it.

Where an application is refused, ask for the reasons and the appeal process. The Act provides for appeals against decisions of a regulatory entity.

Frequently Asked Questions

Who issues an operating licence?

The provincial regulatory entity under the National Land Transport Act, with municipal transport authorities involved in some areas. Processes and fees differ between provinces.

Is platform registration enough?

No. Registration with an e-hailing platform is not an operating licence, and operating without the required licence exposes the vehicle to impoundment.

Can I use someone else’s licence?

No. A licence is issued to a named operator for a named vehicle and a named service. Using another operator’s licence is unlawful and leaves you unprotected at the roadside.

How long does it take?

Months in many provinces, and in some areas demand exceeds availability. Apply before buying a vehicle rather than after.

Operating licence categories, application processes, fees, conditions and appeal rights are set in the National Land Transport Act and by the provincial regulatory entities, and are revised. Confirm current requirements with your provincial regulatory entity.

Related Requirements