The Gauteng taxi industry is set to go cashless, with a 2026 deadline, according to Gauteng Premier Panyaza Lesufi.
Some drivers have already started using card payment systems in King William’s Town, a move praised on social media.
Gauteng passengers could begin swiping as early as next year, says National Taxi Alliance spokesperson Theo Malele.
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Speaking at the Local Government Turnaround Summit on Thursday, Lesufi emphasised the cashless initiative’s role in combating crime.
“We will ensure that our crime statistics come down. It means, as Gauteng, we want to move into a cashless mode, we have already motivated for the hospitality industry. Majority of hotels in Gauteng are now cashless,” said Lesufi.
“We have met with the taxi industry, we know the difficulty of the taxi industry because the drivers need something for the sauce. But, our approach is that they must go cashless, and the owners agreed that they are going cashless.
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“If you’re running public transport, you must go cashless. We are going cashless. I know the problem of cybercrime, but it does not lead to death, where people are killed because of cash.”
National Taxi Alliance spokesperson Theo Malele confirmed on Friday to The Citizen that the taxi industry has agreed with Lesufi’s plan to go cashless.
Although a 2026 deadline was initially agreed upon, the pilot program in King William’s Town could allow Gauteng to adopt cashless payments as soon as next year.
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Malele pointed out that this system would make commuting simpler for passengers, who would no longer have to handle cash for drivers.
“We are on it and we are in agreement with the removal of cash from the public sector space,” said Malele.
“Today, no passenger wants to be collecting money and taking it to the driver. Today’s passengers want to focus on whatever that they want to do.
“Young people could be focusing on their studies, with some with earphones in their ears. The issue of ‘change’ will no longer be there.
“The most difficult one is the issue of revenue.”
According to Malele, taxi owners have long struggled with revenue loss due to cash handling, with some drivers withholding money.
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“There is evidence to prove this because if you look in the evenings, you will see taxis parked outside some places, a driver will be having a girlfriend who will want to have something from there, and that’s part of the money from the taxis,” he said.
“This will cut the gambling at taxi ranks too and improve our income and meet some of our obligations.”
The taxi industry has already started negotiating with banks to keep the payment fees as low as possible.
“We’re trying to keep at a minimum.”
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