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Kahon Chan

Hong Kong may expand a premium taxi scheme if it proves popular, the transport minister has said, while also vowing to seek input from the industry on proposed regulation for ride-hailing platforms to be released next month.
Secretary for Transport and Logistics Lam Sai-hung offered the assurance to the sector on a radio show on Saturday after a caller demanded a total ban on Uber as the “unfair” competition was hurting taxi owners and drivers.
“Online ride-hailing must not be made legal … [They] have made us miserable. Some people bought a licence for HK$7 million [US$2.17 million], and now it’s worth HK$3 million,” said the caller, a taxi licence holder who only identified himself by the surname Liu.
“Whether we’re taxi owners or drivers, we really don’t have enough business to make money. Is it really fair for [Uber drivers] to just buy a private car and do the same thing we do?”
It is illegal for drivers of private vehicles to accept paid customers without a hire-car permit, the number of which is subject to a cap of 1,500.
Ride-hailing platforms such as Uber are not regulated in Hong Kong.
But authorities would seek to change that through proposed regulation to be unveiled next month, the transport minister said.
“We have heard many different opinions, some in favour of expanding online ride-hailing services, while others are against it,” he said in response to the caller.
“In July, we will submit the regulation [proposal] of online ride-hailing services to the Legislative Council … We will continue to communicate with the industry and relevant stakeholders in this regard, and we will listen to everyone’s views.”
He said authorities had referred to regulatory regimes in other jurisdictions and were “almost done” drafting the plan.
Lam hinted ride-hailing operators may need to secure a licence, but stopped short of saying whether the platforms must only allow drivers who had permits.

He reiterated the taxi trade had to shape up and do better, noting that viral clips and media reports showed the service quality of some drivers remained disappointing
One bid to improve industry standards was the introduction of up to five premium taxi fleets, which will be subject to additional regulatory requirements but can charge higher rates.
Lam said premium fleet operators would also have an advantage over individual taxi owners in terms of handling complaints as they were required to have a dedicated mechanism for such feedback.
The Transport Department has received 15 applications, but Lam maintained five fleets would be the right place to start.
“Of course, if these fleets do well in the future, I won’t rule out adding more fleets. We’ll also have to observe the reaction of the industry,” he said.
Transport authorities also said about 400 imported drivers were behind the wheel of minibuses and coaches as of the end of May, with about 200 others having arrived in the city and receiving training as part of a scheme to ease labour shortages.


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News

Hong Kong

Transport

Transport chief Lam Sai-hung vows to seek taxi industry input on new regulatory proposal for platforms such as Uber


Transport chief Lam Sai-hung vows to seek taxi industry input on proposed regulation for ride-hailing platforms to be released next month.


Hong Kong taxis

Hong Kong economy

Uber

Hong Kong society