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Tuesday, August 16, 2016

SPAD unveils taxi transformation plan

KUALA LUMPUR - The Land Public Transport Commission (SPAD) today unveiled its Taxi Industry Transformation Programme (TITP) which was approved by the Cabinet last week.

According to SPAD, the TITP will resolve long-standing structural issues besetting the industry by introducing industry-wide reforms to create a fair playing field that benefit drivers, operators and passengers.

The reforms are said to help clear the way forward for the Malaysian taxi industry to evolve towards a more sustainable future, especially with the entry of ride-sharing services in the public transport landscape.

The four key principles of the TITP are to help the industry leverage on technology; improve taxi drivers’ income and welfare; improve taxi drivers’ service quality; and rationalise taxi fares.

The roll-out of the TITP will also see SPAD empowered by the Government to better streamline and regulate the taxi industry through the issuance of a single Drivers’ Card.

SPAD will also lift the freeze on the issuance of individual taxi licenses under the metered taxi class and hire cars (kereta sewa). In addition, the Government has approved a cash grant of RM5,000 to help taxi drivers exiting the rental (pajak) model to purchase new cars.

For the benefit of taxi drivers, SPAD will also liberalise the vehicle model choice to enable taxi drivers to afford more competitively-priced cars.

SPAD and the Road Transport Department (JPJ) will hold discussions to determine the way forward and are expected to make an announcement in the near term.

Further to the approval from the Cabinet for Uber and Grab to be legalised, SPAD will also be imposing new regulations for these ride-sharing services and their drivers to ensure compulsory insurance coverage and safety requirements are fulfilled.

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