City pilots electronic payments at three DLTCs to reduce cash handling and improve security
The City of Cape Town will begin a pilot to phase out cash payments at three Driving Licence Testing Centres (DLTCs) from 1 October, the municipality said, as part of a broader push to modernise municipal services and tackle risks associated with cash handling.
The trial will be conducted at the Brackenfell, Fish Hoek and Strand centres. The City currently operates 18 DLTCs that process thousands of transactions each month using a mix of cash and card payments. Services handled at the centres include traffic fine settlements, learner’s and driving licence applications, licence card renewals or replacements, and Public Driving Permit (PrDP) applications, the City said.
- Start date: 1 October
- Pilot sites: Brackenfell, Fish Hoek, Strand DLTCs
- Services affected: fines, licence and learner applications, renewals, replacements, PrDPs
City officials set out several operational advantages they expect from phasing out cash: a reduced risk of revenue theft, lower cash collection fees, a lighter reconciliation workload for staff, and a perceived safer environment for both employees and visitors.
"The City is moving towards more digital resources to try and improve our customer experience and service delivery in general. Cashless transactions are one such development," said Alderman JP Smith, Mayoral Committee Member for Safety and Security.
Smith said the pilot would help determine whether a cashless system could be rolled out across the remaining DLTCs in the metro and that the City was open to other improvements to streamline operations. He also pointed to complementary national and provincial initiatives that could ease pressure on local centres.
Officials cited two national changes that could reduce demand at DLTCs: a Road Traffic Management Corporation (RTMC) pilot of an online appointment system in Gauteng and the Eastern Cape, and a recent announcement extending the validity of driver's licence cards from five to 10 years, once implemented. Smith described these developments as potential game changers for waiting times and administrative pressure.
Local impact and implications
For Cape Town residents the pilot signals a nudge towards the City’s wider digital transformation plans. If successful, customers may increasingly be required to use electronic payment methods at DLTC counters, reducing the need to carry cash and — according to the City — lowering risks linked to cash storage and transit.
However, several practical considerations will determine the pilot’s success. These include machine and network uptime at the three pilot centres, staff training and support, contingency processes for card declines or system outages, and communication strategies to ensure customers arrive prepared. The pilot will also need to measure whether cashless systems reduce reconciliation time and fees as projected.
Accessibility concerns are likely to feature in public feedback. Many residents rely on cash for everyday transactions; an abrupt move could disadvantage those without bank cards or smartphones. The City’s phased approach allows it to assess problems and refine processes before any wider roll‑out.
| DLTC | Initial focus |
|---|---|
| Brackenfell | Card‑only payments trial |
| Fish Hoek | Card‑only payments trial |
| Strand | Card‑only payments trial |
The City did not provide a timetable for reporting results of the trial or criteria for a full roll‑out. It said outcomes at the three sites would determine whether the cashless payment policy would be extended to the remaining centres.
Citizens who frequent DLTCs will watch closely for updates on appointment systems and the practicalities of paying without cash. If national initiatives such as the RTMC online appointments and the extended licence validity are implemented locally, the combined effect could lower foot traffic at DLTCs and ease frontline pressure.
For now, the pilot represents a test of administrative modernisation in Cape Town’s everyday services — an incremental change that could reshape how drivers interact with municipal systems if teething problems are managed and residents are supported through the transition.
