Taxi-hailing company Bolt says it will carry on with its services in Kenya even as the transport regulator continues to assess whether it should issue it a new network company operator licence or not.
The firm's regional press officer Marion Wambua said on Sunday that under Section 32(4) of the NTSA Act, Bolt is permitted to continue operating in the country until the licence application process is officially determined.
"The NTSA Act states that "If on the date of the expiration of a licence…proceedings are pending before the Authority on an application by the licensee for the grant to him of a new licence, the existing licence shall continue in force until the application is determined…" said Ms Wambua in a statement.
The development comes barely a few weeks after the NTSA declined to renew the licence of Bolt company over alleged breaches, including illegal commission charges and booking fees. Uber is also facing the same license renewal challenges.
NTSA has accused Bolt and Uber of breaching the provisions of Transportation Network Companies (TNC), Owners, Drivers and Passengers Regulations, 2022, with the “most pressing concerns” relating to commission charges and an “illegal” booking fee.
The firm was then ordered to provide a breakdown of the commission rates currently in effect, highlighting specific instances where rates have exceeded the allowed maximum of 18 percent.
Bolt was required to explain the rationale behind its commission structure and also cease what NTSA describes as the illegal booking fee and ensure strict compliance with the regulations. In an effort to comply with requirements of the transport regulator, Bolt now says that it's licence renewal process is currently in progress with constant engagement and collaboration with the NTSA.
With regard to the letter from NTSA concerning the renewal of its licence, Bolt says it has taken swift action in response to NTSA's concerns regarding the booking fee and commission.
