MALAYSIAN E-Hailing Association (MEA) leader Jose Rizal wants the government to regulate e-hailing fares and set a floor price, following Transport Minister Anthony Loke’s decision that the current rates would be maintained.

“As there is currently no base or ceiling price, the government could regulate this and ensure a proper structure,” he told The Malaysian Insight.

“Calculate the pricing based on current costs – such as maintenance, petrol price and cost of living”

Loke had said that the government would not impose price controls.

“Raising the fare will have implications for the users too. So we need to look at a balance because e-hailing uses a dynamic pricing mechanism that depends on supply and demand.

“The existing policy remains, but we will hold discussions with e-hailing firms so that we can find an approach without intervening and see what they can offer the drivers to increase their income,” Loke had said.

Loke was speaking at the Dewan Rakyat last week after meeting with several e-hailing companies asking for a fares review.

Jose said a ride now costs 25 sen per km and if there are surcharges, it can go up to 75 sen per km.

“And then there is the mapping system. The calculations are not in real time. The estimated pick up and drop off is 30 minutes but in reality, it can go up to 45 minutes or more.

“So who is going to compensate the drivers if prices are fixed? We have already suggested a base price.”

Jose said the lack of a floor price means the income of most drivers will remain stagnant.

“Loke has failed to understand and balance of the demands of the new e-hailing industry.

“The issue of unreasonable and unjustifiable wage rates is a real problem.

“We urge a roundtable session be held soon and involve all parties in the e-hailing and p-hailing industry.” – November 20, 2023.