NEW RULES e-hailing
PUTRAJAYA: E- hailing drivers will be required to obtain a Public Service Vehicle (PSV) licence and have their vehicles inspected at Puspakom annually, similar to taxi drivers.
Transport Minister Anthony Loke said they would also be subjected to a RM115 annual fee for their PSV licence renewals.
He said these were among several regulatory procedures being i mplemented by t he government to ensure a level playing field between the e-hailing and conventional taxi industries.
All stakeholders will be given a one-year moratorium from the gazetting of the procedures today, before its full implementation next year.
“E-hailing services will be regulated by the government beginning July 12 through the Land Public Transport (Amendment) Act 2017 and the Commercial Vehicl e L i c e n s i n g Board
(Amendment) Act 2017.
“They must register with the Land Public Transport Commission (SPAD) and will be required to pay a fee,” he said after the Cabinet meeting yesterday.
The companies are also required to register with the Companies Commission and Cooperatives Commission.
About 10 e-hailing companies and some 200,000 active drivers are set to be affected by the new procedures.
Loke said drivers must attend a RM200, six-hour course at designated driving institutions before obtaining their PSV tag, and would also be screened for criminal records and undergo a medical checkup.
“Vehicles need to also be those with a minimum of three-star recognition by the New Car Assessment Programme for Asean Countries, and cars over three years old need to be inspected at Puspakom.”
Loke said taxis would also only be required to undergo inspections once a year compared to twice currently, and drivers will enjoy the same RM200 fee and six-hour course for a PSV tag.
Other new procedures:
to require passengers to upload their identification cards to provide security for drivers;
vehicles must be insured, including for the drivers, passengers and third parties;
e-hailing apps must have an SOS/999 emergency function; and
companies are required to prepare a driver’s guideline.
Commissions taken by e-hailing companies will also be restricted to 20%, while the rate for taxi drivers using e-hailing apps will be set at a maximum of 10%.
“Surcharges for each ride will also be limited to two times the original fare to ensure passengers are not charged exorbitant amounts,” he said.
On reactions of e-hailing companies, Loke said: “Of course they won’t be happy, but we come up with regulations and they have to abide. If they think it’s not profitable, then they can leave the industry.”
In an immediate response, Grab Malaysia country head Sean Goh said the company was looking to work with the government to improve the standards of the land public transport infrastructure and services.
He said Grab has yet to receive a formal directive on the new procedures, adding that the company will assist its drivers through the transition and keep them updated on any developments. Loke also said Grab will be investigated for possible monopoly of the industry.
He said SPAD has received numerous complaints from passengers of a supposed increase in fare by Grab following its Southeast Asia’s takeover of Uber.
The deal, that was finalised on March 26, meant Grab would take over Uber’s ride-hailing and food delivery service, Uber Eats.
However, just days after, passengers started complaining on social media of hikes in fares for their Grab rides.
“The government is reviewing a possible monopoly and we are working together with the Malaysian Competition Commission. We don’t want any services to be involved in monopoly,” he said.