REVIEWING P2P SERVICES
LTA also announced on Tuesday that it will update regulatory
requirements for taxis and private-hire cars. This will ensure
relevance, as one reason for declining taxi supply is tighter regulatory
requirements translating to higher operating costs for taxi operators
and higher rental rates for drivers.
For instance, under changes to the inspection frequency for various
vehicle types, taxis less than three years old will undergo inspection
once a year, down from once every six months currently.
On the other hand, chauffeured private-hire cars more than 10 years
old will need to be inspected once every six months, instead of the
current frequency of once a year.
The statutory lifespan of diesel, petrol and hybrid taxis will be extended to 10 years, up from the current eight years.
Smaller taxi operators will also no longer be required to provide
call-booking services, “given the high cost relative to low utilisation
rate”, said Senior Minister of State for Transport Amy Khor.
ComfortDelGro, which currently fulfils the bulk of call-booking trips, will continue offering these services.
Authorities will also introduce baseline standards for P2P service platforms to mitigate the impact of service disruptions.
Operators must inform LTA, commuters and drivers within an hour of
confirming a “systemic incident” that could impair P2P services. They
must then submit a report outlining measures taken to resolve the
incident, added Dr Khor.
Operators must also develop and regularly review contingency plans to
ensure timely service recovery and mitigate the recurrence of any
systemic incidents.
In addition, as commuters and drivers may rely on P2P services for
their livelihoods, the notification period will be doubled for operators
that intend to exit the market. Operators will need to inform LTA of an
exit plan at least 120 days before surrendering their licence – up from
the current 60 days.
They will need to inform the public at least 60 days before surrendering their licence.
The authorities will also work with operators to enhance their
booking platforms, making it easier for commuters to indicate if they
need a private-hire car with sufficient boot space, such as for a
foldable wheelchair or a child seat.
The booking platform should also indicate if these services are
unavailable, so commuters who require them can cancel and make a new
booking.
Further details on the implementation of these changes will be provided at a later date.