SPAD submits proposal to legalise Uber and Grab

KUALA LUMPUR: Land Public Transport Commission (SPAD) in its Taxi Industry Transformation Programme's proposal among others has put forward the need to legalise Uber and Grab and to level the playing field for taxi drivers.
"The proposal seeks to legalise current technology-driven demand patterns to regulate e-hailing service such as Uber and Grab, and also level the playing field for existing taxi drivers so they have a fair chance at remaining competitive," said SPAD in a statement here today.
It said SPAD also recommended the issuance of new individual taxi licenses to drivers with clean track records to encourage entrepreneurial spirit at the individual level.
"It also provides a viable exit option for eligible taxi drivers who are burdened under the current leasing (pajak) model," it said and added, it had also proposed that taxi drivers be allowed more vehicle model options.
SPAD said the proposal submitted to the government detailed solutions "to uplift the level of service quality and encourage healthy competition within the industry."
Meanwhile, SPAD chief executive officer Mohd Azharuddin Mat Sah in the statement said the commission believed that "liberalising the taxi model is part and parcel of a competitive industry landscape that we want to drive for this industry.
"Clearly these reforms and the change will have a big impact on our taxi industry. Once cabinet approval is in, we will work through the details to ensure that the solutions are properly implemented considering the complexities of the transition," he said.
SPAD said it had presented the proposed solutions under the programme to the Economic Council and had received positive feedback.
"The commission will announce the full details in due course following Cabinet approval targeted for July," said the statement.
In the meantime, SPAD requested for the cooperation of all parties to be patient to avoid controversy and confusion, the statement said. — Bernama