A proposed regulation mandating the installation of GPS-enabled speed-limiting devices on all vehicles has triggered widespread concern across the commercial transport sector, as drivers and association leaders brace for what they see as an expensive and technically opaque imposition.

The draft directive, initiated by the Ethiopian Road Safety & Insurance Fund Service (ERSIFS), forms part of a broader campaign to tackle soaring traffic fatalities. Authorities argue that with speeding accounting for the lion’s share of road accidents, the regulation is a necessary step. But the prospect of mandatory compliance has left many drivers anxious over affordability, unclear technical standards, and enforcement risks.

The draft directive is part of a renewed push to combat the deadly effects of speeding, identified by authorities as the leading cause of more than half of traffic accidents in low and middle-income countries and the main factor in the carnage on local roads. If enacted, the new rule will apply to virtually every vehicle operating in the country, exempting only emergency vehicles, diplomatic cars, heavy machinery, and cars assigned to senior government officials.

Under the proposed regulation, speed controllers should be able to prevent vehicles from exceeding prescribed speed limits and transmit operational data to a centralised monitoring platform. Only certified companies will be allowed to import, install, and service the equipment, while vehicles lacking a functioning speed limiter will be denied the annual technical inspection certificate needed to remain on roads.

Implementation is set to roll out in phases, beginning with commercial transport services such as taxis and minibuses. Drivers and vehicle owners will bear the responsibility for installing, maintaining, and repairing the devices, which should be synchronised with GPS and sealed to prevent tampering. Police will have the power to inspect the devices during routine checks, and may temporarily seize a driver’s competence certificate if the equipment is found to be faulty or improperly installed.

The draft regulation spells out a strict penalty regime. Vehicle owners who permit operation without a speed controller face fines of up to 3,000 Br. Failure to repair a defective unit could result in a 2,000 Br. fine. Drivers may be fined 1,000 Br for driving without a device, operating with a malfunctioning or unsealed unit, or failing to present the installation certificate. Installer companies, meanwhile, could receive escalating penalties ranging from written notice to three-month license suspensions and, ultimately, license revocation for repeated noncompliance.

According to Yonas Belete, director of road traffic safety at the ERSIFS, the regulation is still a draft but is considered a necessary upgrade to existing measures.

“Accidents in our city are too frequent, and most occur because drivers exceed the speed limit,” Yonas said. "The current rules need software upgrades and more rigorous implementation.

ERSIFS is working with Ethio telecom to develop a speed control device service. While the device itself may be imported, the software will be developed locally to provide real-time traffic management data.

"This is part of our broader strategy to prevent car accidents,” Yonas told Fortune.

Earlier efforts included setting the speed limit at 50Km/h and collaborating with police to enforce compliance.

Yonas disclosed that a thorough consultation process was conducted to develop the draft, involving authorities from all 14 regions across the country, including Addis Abeba and Dire Dawa, as well as a major conference held five months ago to gather input before submitting the draft to the Ministry of Transport & Logistics.

“We've done our part and are waiting for the Ministry to move the draft toward implementation, which could happen any day now,” he said.

The rollout will initially target commercial vehicles such as Code 1 and Code 3 taxis, which have been implicated in many of the most serious accidents, especially those involving more than a dozen passengers. The specific type of speed-limiting device will be selected once Ethio telecom completes the digital infrastructure to support the system. Anyone seeking to import and market the device will need to meet technical capacity and quality standards and secure authorisation from the Ministry before entering the market. Once the regulation is officially adopted, all vehicles will be required to install the device on schedule.

While government officials capitalise on the safety benefits, the draft directive has sparked widespread concern among taxi operators, who fear an added financial burden. Many drivers, already struggling to cope with high fuel costs, maintenance, and spare parts costs, are worried that the new requirement will push them over the edge.

According to Getu Tesfaye, president of the Selam Taxi Association, which represents 400 members, the group had little information about the draft or the speed controllers themselves.

“Speed is a major problem among drivers, and this is a good solution for reducing accidents,” Getu said. “But we do not know the device or the costs involved. Taxi drivers are already struggling to change tyres and maintain vehicles. Adding new costs is very difficult."

Getu would like transport officials to consider providing financial support or loans to his members.

Tekestebrhan Semre, a Code 1 taxi owner and driver with more than six years of experience, voiced similar concerns. He earns an average of 3,000 Br daily income, but after fuel, oil, and other expenses, he takes home less than 500 Br.

"Adding the cost of a new speed control device is more than I can handle,” he told Fortune.