The Department of Transport (DoT) has officially postponed the implementation of the Administrative Adjudication of Road Traffic Offences (AARTO) to 1 July 2026. The decision, announced in an official media statement, comes amid concerns over the readiness of municipalities slated for the initial rollout.
While the new date affects only the phased implementation schedule, the core provisions of the Act remain unchanged. A subsequent proclamation will outline the revised staggered rollout dates.
Key Provisions Businesses Should Note
Recent clarifications in the Government Gazette highlight critical obligations for organisations managing company vehicles:
- Fines paid within 30 days will attract a 50% penalty reduction.
- Company vehicle fines will initially be linked to the business’s official Registration Number (BRN).
- Vehicles cannot be renewed, transferred, or registered if fines remain unpaid.
- Demerit points transfer to drivers will occur only during the third phase.
- Drivers accumulating 15 points risk license suspension or cancellation.
- The Act includes a driver rehabilitation programme.
Heightened Responsibilities for Businesses
While some expected the revised AARTO Act to be less burdensome, the reality for businesses is more complex. Eugene Herbert, CEO of MasterDrive, explains:
“The initial removal of a proxy eliminates some administrative steps, but it introduces new requirements. If fines are not settled within 30 days, the discount is lost, and consequences escalate. Unpaid fines prevent vehicle registration, renewal, or transfers, forcing businesses to appoint personnel specifically to monitor and settle fines.”
This change is not merely procedural. In 2023, estimates showed less than 20% of fines were settled. The new Act, linked to the eNatis system, makes non-compliance difficult to avoid. Businesses must track fines internally and establish verified payment systems immediately to prevent operational interruptions.
Operational Risks of Non-Compliance
Failing to implement internal processes could have severe consequences. Herbert warns:
“Organisations without systems to manage traffic violations risk operational incapacitation. The Act places direct accountability and administrative responsibility on businesses. Ignoring it could halt operations entirely. Proactive compliance is no longer optional—it is essential for continued operations.”
Steps Forward
Even with the continued postponement, proactive organisations are already preparing. Key measures include:
- Implementing internal tracking and payment systems for traffic fines.
- Training drivers to reduce the risk of infringements.
- Assigning dedicated personnel to manage compliance and liaise with municipal authorities.
The delay provides a window for businesses to adapt, but it does not reduce the necessity for rigorous internal compliance. Organisations that act now will mitigate risk, safeguard operations, and avoid the financial and administrative fallout of unpaid fines.
The AARTO Act represents a fundamental shift in accountability for South African businesses. With the postponement to mid-2026, organisations have time—but limited—to establish robust systems to track and manage fines. For those unprepared, the consequences are stark: disrupted operations, financial penalties, and potential legal complications. For companies prioritising compliance and operational continuity, the message is clear: plan, implement, and enforce now, before the system goes live.
