Driving license fees in South Africa contribute R590 million to R620 million to government coffers per annum, with only R50 to R60 of the renewal fee going towards card production.
The renewal fee varies per province in South Africa, but the average charge is approximately R250. Therefore, roughly R190–R200 of the renewal fee for each card is used to generate revenue for the state.
“The full application fee that you pay when you apply for your license, renewal, or a duplicate — that full amount is not for the production,” said former driving license project manager Werner Koekemoer.
“I don’t know what the exact figure is. It was around R250, let’s say R300, for a new card application. No more than R50 or R60 of that should be for the production of the card.”
In South Africa, the state-owned Driving Licence Card Account (DLCA) is responsible for producing driving license cards.
MyBroadband calculated the average number of driving license cards produced in the past three financial years by examining the DLCA’s financial results for 2021/22, 2022/23, and 2023/24.
This figure amounts to roughly 3.1 million cards per year. Based on Koekemoer’s estimate that only R50 to R60 goes towards production, the government pockets R590 million to R620 million yearly.
This is based on the average fee of R250 per card application. However, Koekemoer said the average cost could be higher.
Driving.co.za managing director and road safety expert Rob Handfield-Jones said revenue from driving license card applications is partly to blame for the government’s refusal to scrap physical cards.
For some time, Handfield-Jones has advocated replacing South Africa’s physical driving license cards with digital documents.
He said no technological or practical barrier prevents a shift to digital licensing and enforcement in South Africa.
“Rather, the problem is the Road Traffic Management Corporation’s refusal to give up the revenue streams that go with analog document production,” he said.
In addition to generating revenue for the state, Handfield-Jones said other potential vested interests could be preventing the shift to digital licensing.
Outdated and expensive technology
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Koekemoer said the technology used to produce South Africa’s driving license cards hasn’t been used widely for over a decade.
“The technology of the card itself—that machine produces a card that’s got a paper core and then is laminated on both sides. That technology went out maybe 10 to 15 years ago,” he said.
“Now you have fully composite cards. You know, plastic-type cards.”
He added that the technology used in South Africa is specific to the country’s driving license printing machine.
Koekemoer explained that it includes a photographic process and security measures that “are not even in existence anymore.”
He said implementing a full technology refresh is the best way to abandon the current driving license card scheme. “That includes the software,” he stated.
The Department of Transport made progress in finding a provider to procure new driving license printing machines in 2024. However, the process has been halted pending judicial scrutiny.
In August 2024, the department revealed that it had elected Idemia Identity and Security South Africa as the preferred provider to procure the new printers.
However, Transport Minister Barbara Creecy asked the Auditor General of South Africa (AGSA) to expand its audit into the tender process just a few days later.
The AGSA found various irregularities surrounding the tender and adjudication process, highlighting that the department had failed to follow proper procedure.
It said Idemia had “failed to meet key bid technical requirements.” However, Idemia told MyBroadband that it had won the tender legitimately and lawfully.
Creecy went to the court system regarding a way forward. She is considering whether to cancel or proceed with the contract.
The minister received a legal opinion advising her to proceed with the contract, prompting backlash for the Organisation Undoing Tax Abuse (OUTA).
The civil action organization said proceeding with the contract despite the AGSA’s findings would be a major governance failure.
The minister has since confirmed that she hasn’t withdrawn the declaratory order from the court and is still waiting for the outcome.
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