AN ASSESSMENT OF BOLT TRANSPORTATION SYSTEM AND DRIVER ASSOCIATION IN IBADAN

CHAPTER ONE

INTRODUCTION

Background of the study

The advent of ride-hailing services has made a substantial transformation in the transportation landscape of urban areas globally, including cities in Nigeria. The introduction of Bolt, a well-known ride-hailing service, has significantly altered the urban transportation landscape in Ibadan, the third most populous city in Nigeria and a major metropolitan hub in West Africa. Bolt's user-friendly smartphone application and efficient service approach have contributed to its substantial popularity among clients and drivers in Ibadan. However, with the rise of Bolt and other ride-hailing operators, there exists a network of driver organisations that play a crucial role in supervising and promoting the well-being of drivers in the transportation industry. These groups typically participate in lobbying initiatives to safeguard the rights of drivers, engage in discussions with relevant parties, and cultivate a sense of solidarity and support among its members. Significant modifications have been implemented in the urban public transport system of Nigerian cities between 1900 and 2020. Within Nigerian urban areas, the predominant means of public transit have been commercial buses (danfo) and taxis, which are characterised by their unique yellow hue and deteriorated look. Before the emergence of ride-hailing programs, accessible transportation was not easily available. As to the findings of Johnson, Dunn, and Sack (2020), passengers were obligated to either signal for cabs on the road or go to the nearest taxi park in order to get service. The emergence of e-hailing (Bolt) services has played a decisive role in enabling the movement of goods and people throughout several metropolitan regions in Nigeria (Oseni, 2021). 

E-hailing services, sometimes referred to as Bolt services, include the provision of vehicle, tricycle, and motorcycle services, whereby each operator has their designated fleet. In essence, the main purpose of the e-hailing (Bolt) platform is to streamline the interaction between individual drivers and potential customers. Drawing on the country's emerging public transportation system, significant population, and rapid urbanisation, the e-hailing (Bolt) services have had a spectacular increase in growth, rising from a small number of two operators in 2014 to an astonishing twenty-six (26) providers in 2019. Significantly, a considerable proportion of these businesses have begun their operations in the major urban areas of Nigeria. Based on Dickenson's (2018) projection, the digital ridehailing or e-hailing sector in the country is expected to generate a revenue of USD 292 million by early 2020. The market in question is projected to account for 15% of the whole e-hailing user population in Africa, which now amounts to 48.6 million adults. Since its establishment in 2014, ridesharing platforms have greatly improved the comfort and ease of urban transportation for the people of Nigeria. The economic livelihood of a substantial proportion of drivers in Ibadan is intricately linked to their participation in the Bolt transport system. Analysing the integration of Bolt's operations with the activities and policies of driver organisations may provide significant insights into the economic implications for drivers and the broader transportation sector (Dickenson, 2018). Transportation services such as Bolt operate under a regulatory framework that often intersects with the interests and guidelines set by driver associations. An analysis of the interactions between Bolt and driver organisations may provide useful understanding of the regulatory challenges and opportunities faced by both groups. Consequently, this may enhance policy discussions aimed at developing a transport system that is both environmentally compatible and equitable. The relationship between Bolt and driver associations is intricately connected to broader labour dynamics, including issues related to working conditions, remuneration, and employment status. An analysis of the bargaining power and discussions among various entities may provide valuable understanding of the dynamic nature of labour relations within the gig economy framework (Dickenson, 2018). Transport networks have a vital role not only in the economic domain but also in influencing the social and cultural environment of metropolitan areas like Ibadan. Analysis of the interactions with Bolt, driving groups, and other stakeholders reveals patterns that reflect broader social and cultural elements such as identity, community, and urban development. The objective of this study is to elucidate the many facets of this relationship and its implications for drivers, passengers, policymakers, and other persons involved in the urban transportation sector, by systematic research and analysis.. Therefore, the researcher sought to assess Bolt transportation system and driver association in Ibadan.

Statement of the problem

Participants in Nigeria's e-hailing (Bolt) ride-sharing sector are at danger of either survival or total devastation as a result of government rules that have been unparalleled in recent years (Georgia, & Douglas, 2016). The e-hailing (Bolt) transport services in Nigerian cities have specific challenges, especially because to the uncertain legal framework. Previous attempts to establish regulations for the ride-hailing industry in urban areas of Nigeria have encountered opposition, leading to disputes between service providers and governing bodies (Davey, 2015). Furthermore, research has shown that some e-hailing mobility service providers faced obstacles from the National Union of Road Transport Workers (NURTW) authorities, who prohibited them from making stops for pickups at certain bus terminals along their assigned routes (Banya, Johnson & Carboni, 2020). The presence of regulatory discrepancies between conventional taxi fleets and e-hailing companies has led to increased tensions. The planned licencing regulations by the government, along with the proposed 10% tax on e-hailing trip transactions, are anticipated to significantly impact the long-term sustainability of e-hailing business models and the lives of riders (Dhawan & Yadav, 2018). Numerous cases of car theft, kidnapping, and deaths involving both drivers and passengers have been recorded. Compounding the challenges is the issue of inconsistent internet connectivity while initiating and effectively finishing an e-hailing (Bolt) transaction. As a consequence of internet fraud, most drivers have opted out of using their online mobile banking application to make payments for e-hailing services. Instead, they choose for monetary payments. Consequently, the advancement of e-hailing services in fostering smart city innovation has been compromised (Sylvans, 2022). Hence, the need to assess  Bolt transportation system and driver association in Ibadan.

Objective of the study

The broad objective of the study is to assess Bolt transportation system and driver association in Ibadan. The specific objectives is as follows

Explore the socio-economic impact of the Bolt transportation system on drivers in Ibadan

Assess the  effectiveness of the Bolt transportation system in Ibadan

Identify the challenges for collaboration between Bolt drivers and driver associations in Ibadan

Propose strategies for enhancing the sustainability and mutual cooperation within the Bolt transportation system and driver associations in Ibadan.

1.4 Research Questions

The following questions have been prepared to guide the study

What are the socio-economic impact of the Bolt transportation system on drivers in Ibadan?

How effective is the Bolt transportation system in Ibadan?

What are the challenges for collaboration between Bolt drivers and driver associations in Ibadan?

What are the strategies aimed at enhancing the sustainability and mutual cooperation within the Bolt transportation system and driver associations in Ibadan?

1.5 Significance of the study

The study will be significant to the following

Ministry of transportation: Understanding the dynamics between Bolt, a popular ride-hailing platform, and its drivers in Ibadan can provide insights into the efficiency of transportation services within the city. This includes factors such as wait times, availability of rides, and overall accessibility, which are crucial for commuters and urban planning.

Policymakers: Investigating the relationship between Bolt and its drivers can inform regulatory bodies and policymakers about the challenges and opportunities associated with the integration of ride-hailing services into the transportation landscape of Ibadan. This includes issues related to licensing, taxation, and labor regulations, which are essential for ensuring fair and safe working conditions for drivers while maintaining a competitive market.

Academia: the study will be beneficial to the academic community as it will contribute to the existing literature.

1.6 Scope of the study

The study focuses on assessing Bolt transportation system and driver association in Ibadan.  Empirically,  the study will explore the socio-economic impact of the Bolt transportation system on drivers in Ibadan, assess the  effectiveness of the Bolt transportation system in Ibadan, identify the challenges for collaboration between Bolt drivers and driver associations in Ibadan and propose strategies for enhancing the sustainability and mutual cooperation within the Bolt transportation system and driver associations in Ibadan. 

Geographically, the study is delimited to Ibadan.

1.7 Limitation of the study

Like in every human endeavour, the researchers encountered slight constraints while carrying out the study. The significant constraint are: 

Time: The researcher encountered time constraint as the researcher had to carry out this research along side other academic activities such as attending lectures and other educational activities required of her.

Finance: The researcher incurred more financial expenses in carrying out this study such as typesetting, printing, sourcing for relevant materials, literature, or information and in the data collection process.

Availability of Materials: The researcher encountered challenges in sourcing for literature in this study. The scarcity of literature on the subject due to the nature of the discourse was a limitation to this study.

1.8 Definition of terms

Bolt Transportation System: Refers to a ride-hailing or transportation network company operating under the brand name "Bolt" in Ibadan. This system typically involves a mobile application that connects passengers with nearby drivers for on-demand transportation services.

Driver Association: An organized group or union of drivers operating within a specific region, in this case, Ibadan, Nigeria. This association may serve various purposes such as advocating for the rights and welfare of drivers, negotiating with transportation companies, or providing support and resources to its members.

Transportation Network Company (TNC): A company that uses digital platforms, typically mobile applications, to connect passengers with drivers for transportation services. 

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