Government's Engagement of Ride-sharing App Companies and Private Car Hire Drivers
Ministry of TransportSpeakers
Summary
This question concerns MP Ang Hin Kee's inquiry regarding the adequacy of consultations with ride-sharing companies and whether taxi operators could be exempted from Quality of Service and Taxi Availability requirements. Minister for Transport Khaw Boon Wan stated that the Land Transport Authority consulted multiple stakeholders, including Uber and Grab, to balance commuter safety with the innovation of new business models. He explained that taxi standards are retained to ensure service quality for street hails and phone bookings, which remain the primary modes of hiring. The Minister noted that these standards have increased peak-hour taxi plying from 82% to 92% and raised the proportion of two-shift taxis. Finally, he affirmed that while current outcomes are satisfactory, the Ministry will continue reviewing regulations to ensure they remain relevant as the industry evolves.
Transcript
39 Mr Ang Hin Kee asked the Minister for Transport (a) in view of a recently published letter by Uber Singapore on the over-regulated approach taken by the Ministry on private car hire companies, whether there has been adequate dialogue with these companies during the Ministry's engagement with stakeholders on the recently announced "light touch" regulations for ride-sharing app companies and private car hire drivers; and (b) whether the Ministry will consider exempting taxi operators from the Quality of Service, Taxi Availability and other compliance licensing requirements.
Mr Khaw Boon Wan: LTA had engaged all the stakeholders in the recent review of the chauffeured services industry. Numerous consultations were held with Uber, Grab, the National Taxi Association, the National Private Hire Vehicle Association, car rental and limousine companies and, most importantly, commuters. While we need some regulations to protect commuters’ interests and safety, we have strived to ensure that these are not so onerous that they stifle innovation of new services and business models.
As for taxi operators, the current Taxi Availability and Quality of Service standards ensure that commuters can enjoy a minimum service quality for street hail and phone booking respectively. We have retained them as these remain the primary modes of hiring a taxi and the current outcomes are satisfactory. Since the Taxi Availability standards were introduced, the proportion of two-shift taxis has increased from 53% to 68%. The proportion of the taxi fleet plying the roads during peak hours has gone up, from 82% to 92%. This has made it easier for commuters to get a taxi by street hail. Nonetheless, the industry is evolving and we will continue to review these requirements to ensure that they remain relevant.