By “stricter regulations,” Ridesharing Forum means that on a more optimistic note.
It was on Tuesday this week when Hong Kong’s government unwrapped proposals that seek to regulate online ridesharing companies like Uber, telling their platform, vehicles, and drivers to first be licensed before they ply the road.
Uber has reservations on this.
“Uber welcomes the unveiling of Hong Kong’s regulatory framework for ridesharing and congratulates the government on this important milestone. We are encouraged to see safety and service standards – such as mandatory insurance, driver examinations, and regular vehicle inspections – placed at the center of the proposed regime,” the ridesharing app stated on its official newsroom page.
Hong Kongers are lovers of taxis. Unlike in other countries, taxis in this Special Administrative Region are safe. Not only that, but they are everywhere, cheap, and a key pillar in the city’s strong road movement infrastructure.
However, this landscape was changed when ridesharing came into the scene, thanks to the doubts that rose over those cabs.
Yet, also, the situation since ridesharing was introduced in Hong Kong, is that the government has stated, “No!” for them. Thus, for over 10 years now, platforms such as Uber have operated in the region “in a gray area,” racking up legions of riders while sparking the anger of the influential cabbie lobby.
This week, things have changed.
In a document obtained by Ridesharing Forum, public vehicle officials stated that companies applying for a ridesharing license must have business registration and an office in the city. They also added that platforms must fulfill certain conditions regarding operating experiences, proof of financial capabilities, and capital investment, in addition to simply ensuring that cars and drivers working for them have the required insurance.
Under the new regulations and licensing, eligible drivers should have held a private car driving license for a minimum of a year. They should also have no serious traffic convictions within five years. They must also pass the test and complete training.
Furthermore, officials are planning to set a quota on the number of cars to be run under the new regulation, specifying that cars must not be over seven years old, as well as pass a yearly inspection.
Wish to know Uber’s take and reaction on this? Worried.
“While we commend this progress, we remain concerned about the proposed cap on the number of ridesharing vehicles. Artificial limits risk increasing wait times, raising prices for riders, and restricting earning opportunities for drivers. We look forward to continuing dialogue with the government and related stakeholders on the proposed regulations,” Uber wrote in a short statement for the general public to see.
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