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Ambrose Li

Fifteen applicants are vying for five “premium taxi” fleet licences in a new scheme introduced by the Hong Kong government to improve the quality of services.
The city faces keener competition in the ride-hailing market, with some previously sceptical industry players making a U-turn to file an application.
The Post unpacks what the premium taxi scheme entails and how it will affect passengers in the city.
1. What are premium taxis?
Premium taxis are part of a wider government initiative to improve “the overall quality of personalised point-to-point transport services”, which will be regulated by the authorities.
The vehicles in these fleets must not be more than three years old when they join and must not be more than 10 years old throughout the licence period.
A mixed fleet servicing New Territories as well Kowloon and Hong Kong Island – that is, both green and red taxis – should consist of 300 to 1,000 premium vehicles, while a fleet servicing New Territories alone should have 100 to 350 premium vehicles.
2. What kind of services can passengers expect?
Passengers will be able to book and pay online through mobile applications and websites. CCTV systems must be installed to “enhance driving safety”, according to the authorities.
Premium fleets will be allowed to set their booking charge on top of the metered fare, or an agreed lump sum fare before the journey.
A few dozen designated premium taxi stops will be set up by the government at the airport, several border control points, the West Kowloon high-speed rail terminus, a few Airport Express stations, the Kai Tak Cruise Terminal and Hong Kong Disneyland, among others.
3. Why has such a scheme been introduced?
Secretary for Transport and Logistics Lam Sai-hung said that setting up a premium taxi fleet was the government’s prime solution for fixing the industry’s reputation.
The rogue practices of “a handful of black sheep” had led to “unpleasant experiences” for passengers, he said, and urged the industry to “live up to expectations” and seize opportunities of the new initiative.
Passengers had noted that taxi drivers would also complain about or even refuse to take certain routes. Other negative practices included overcharging of fares, reckless speeding and rudeness.
There was also a backlash after several cab drivers posed as Uber passengers and asked the ride-hailing drivers to stop near police patrols so they could be “spontaneously reported”.
Although Uber has been in the city for nine years, ride-hailing services are illegal for vehicles without a hire-car permit.
4. Which companies have joined?
Fifteen applicants have filed applications.
Chau Kwok-keung, chairman of the Hong Kong Taxi and Public Light Bus Association and founder of Jumbo Taxi, initially expressed doubts about the scheme last October.
However, he submitted and application on Friday to operate a 400-strong fleet of premium taxis, with an anticipated investment of about HK$70 million (US$9 million).

“The emergence of two mainland Chinese platforms, Didi Chuxing and Amap, venturing into the Hong Kong taxi market stated that they will not use private vehicles, dispelling concerns within the local taxi industry. In light of these developments, I am optimistic about the industry’s future prospects,” Chau said when asked about his change of heart.
Chau highlighted the government’s commitment to prohibiting illegal carriage of passengers – a reference to Uber – and said he believed the industry would experience a positive turnaround if premium taxis could win back former customers who had turned to ride-hailing services.
Hong Kong Tele-call Taxi Association chairman Wong Yue-ting was also among the applicants, saying his fleet would consist of 350 premium taxis operating in the New Territories. His company and 11 others would invest about HK$100 million.
The investment would go towards vehicles and relevant equipment such as cameras and GPS systems, and they would select about 500 to 700 drivers to participate in the scheme as he emphasised the importance of service.
“Ultimately, the quality of drivers is the most important,” Wong said, noting that there were currently 2,800 taxis in the New Territories and his company would be contributing an additional 300 premium ones under the scheme.
The company would focus on the quality of service provided by the drivers – such as being on time – and would consider offering financial rewards if they received good reviews from passengers.
His company would also provide training to those who received complaints, or have them replaced in the premium taxi fleet if necessary.
“Through the premium service, we hope to influence other taxis in the New Territories so the vast majority adopts similar practices, and customers can feel it when service has improved,” he said.
Though it was too early to predict if the new scheme would be profitable, Wong added that he hoped “to promote and expand the model so there is more business and more people can benefit”.
5. When will commuters get to ride on the new taxis?
Applications to the government to operate premium taxi fleets closed at noon on Friday, with results to be announced in the middle of the year. Those awarded the licence should complete their preparation within a year and operate by mid-2025.


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Hong Kong transport

What is Hong Kong’s new premium taxi scheme and how will it affect passengers?

The new premium taxi scheme aims to better regulate companies, enhance quality of services and improve the reputation of the industry. Photo: May Tse

Chau Kwok-keung, chairman of The Hong Kong Taxi & Public Light Bus Association. Photo: Edmond So

15 Hong Kong taxi fleets vie for 5 licences as competition heats up under new plan to improve service

Eight fleets are competing for five taxi licences under a government scheme to improve service. Photo: Jelly Tse

Taxi firms have gone head to head to secure five new service licences up for grabs as part of a government plan to improve services. Photo: Xiaomei Chen

Hong Kong taxi drivers’ operations against Uber a reflection of frustration over years of ‘illegal activity’, union leader says

Hong Kong taxi drivers have long complained about their business being taken by Uber. Photo: May Tse

Hong Kong taxis and Uber need not have a fight to the finish

Passengers get into taxis in Causeway Bay on May 7. Both the taxi industry and ride-hailing services such as Uber ought to be better regulated. Photo: Sam Tsang

Have Hong Kong taxi drivers slammed the brakes on bad behaviour amid Uber feud?

The Transport Advisory Committee has said it received 2,890 complaints concerning taxi services between October and December of 2023. Photo: Sam Tsang

A group of cabbies earlier went undercover as Uber passengers and made at least 13 police reports against drivers they accused of providing illegal ride-hailing services. Photo: Handout

Uber has been in Hong Kong since 2014, but its legal status has long been in question as the city lacks legislation to regulate ride-hailing apps. Photo: Shutterstock

News

Hong Kong

Transport

Scheme is part of a wider government initiative to better regulate taxi companies, enhance quality of services and improve the reputation of the industry
Passengers will be able to book and pay online through mobile applications and websites, and CCTV systems will be installed to ‘enhance driving safety’


Scheme is part of a broader government initiative to better regulate industry and will allow passengers to book and pay through mobile applications and websites.


Hong Kong economy

Hong Kong taxis

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Explainer | What is Hong Kong’s new premium taxi scheme and how will it affect passengers?

1. What are premium taxis?