E-hailing services have crippled conventional taxi industry: Mozzies
The director of Mozzie Cabs says the advent of e-hailing services has crippled the conventional taxi industry.
Peter Lehman was speaking on the second day of the Durban leg of the Competition Commission's public hearings to establish the competitiveness of the transport sector.
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"In the last two weeks we could not continue operations. We have been funding the business for the last six to eight months and with the prices that the e-hailing companies charge and the subsequent loss of business due to the e-hailing companies, we have had to close our doors," said Lehman.
He said 150 employees have put out of a job.
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Lehman says it has become impossible to compete with the rates offered by the likes of Uber and Taxify.
He says he started an e-hailing app in January, but still had to charge in the region of R12 a kilometre, compared to some services R7.