…Also wants a 10 percent share of every ride transactions.
New regulations for ride-hailing companies and taxi operators by the Lagos State Government is set to take effect on August 20.
Tensions are gradually building as the regulation compels ride-hailing technology companies and taxi operators to pay an initial licence fee and subsequent yearly licence renewal.
Companies with less than 1,000 drivers are required to pay N10 million licence fee, while firms with more than 1,000 drivers are to pay N25 million, Tech Point reported quoting the Lagos State Ministry of Transportation.
Yearly renewal, for firms with more than 1,000 drivers would be N10 million while those with less than N1,000 drivers would pay N5 million.
For taxi and App operators with 50 cabs or less, the state government wants an initial licence fee of N5 million and yearly renewal of N1.5 million, while those with more than fifty cabs are to pay N10 million licence fee and N3 million yearly renewal fee.
The state government also demanded a 10 percent service tax on each transaction paid by passengers to the operators and commencement of licence renewal process three months before an existing licence expires.
In the new regulation, ride-hailing firms and taxi companies are requested to provide the government with access to their database.
According to reports, negotiations are ongoing but the regulations are due to take effect from August 20.
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