E-HAILING service providers in Malaysia have one year to comply with a slew of new regulations set by the Transport Ministry.

Transport Minister Anthony Loke said the regulations, which takes effect tomorrow, also apply to taxi services.

“Regulations like a standard PSV licence for both (e-hailing and taxi) drivers will create a more level playing field,” Loke said at the ministry, today.

Loke said, for starters, both e-hailing and taxi companies must be registered with the Companies Commission of Malaysia (SSM) or the Malaysia Co-operative Societies Commission (SKM).

“After the merger of Grab and Uber in March, the Land Public Transport Commission (SPAD) has received numerous complaints about Grab increasing fare prices.

“That is why the government is also researching the risks of e-hailing monopoly with the Anti-Competition Commission (MyCC)

Taxi drivers who wish to move into e-hailing will receive a government grant of RM5,000 to buy a new or used vehicle, Loke said.

“At the same time, taxi drivers ending their contract with the taxi company will also be awarded a RM5,000 government grant if they wish to stay in the industry,” he said.

Loke said taxi and e-hailing vehicles would also need to comply with government standards.

“Vehicles must have a minimum 3-star ASEAN NCAP or equivalent to be accepted.

“A Puspakom vehicle inspection (RM55 per inspection) for vehicles more than three years old must done annually, likewise meter checks for taxis.

Loke said e-hailing drivers must also hold the Public Service Vehicle (PSV) Licence for taxi drivers now have.

For that, they would have to undergo a six-hour training course at RM200 each at a driving institutions registered with SPAD and APAD, he said.

PSV licence renewal fee is RM115 per year.

“For the protection of e-hailing drivers, passengers must officially register using identification cards or passports on the applications.

“Failure to comply with any of the regulations will see the driver or company’s operating licence revoked.

“Even though we say grace period, it doesn’t mean they can do what they like.

“This year we will be monitoring. If we receive a lot of complaints about an e-hailing company, we can always deny it a licence after the year.”

According to the MOT, there are 10 e-hailing companies operating in Malaysia.

There is about 200,000 e-hailing drivers, of which 50,000 are driving full-time.

There are 67,000 taxis on the road, 34,840 of which are driven by individual owners. – July 11, 2018.