The Hong Kong government will submit a legislative proposal on regulating ride-hailing platforms, the city’s leader has announced, saying it cannot delay tackling issues stemming from such services.
The Transport and Logistics Bureau will submit a paper to the Panel on Transport of the Legislative Council on Tuesday to outline a framework for regulating online car-hailing services in the city, Chief Executive John Lee said at a weekly press briefing on the same day.
Without naming any specific operator, the Hong Kong leader said different issues arose after a ride-hailing platform began operating in the city 11 years ago.
The issues, which Lee described as “complex” and “involving a lot of parties and interests,” include the protection and safety of passengers and the “coexistence” of ride-hailing services and taxis.
“I agree that the issues are complex, but we must not continue to drag our feet. The government must come up with a solution,” Lee said in Cantonese.
See also: Hong Kong authorities plan to propose ride-hailing regulations in July
According to Lee, the proposed regulatory framework would cover operational standards for ride-hailing platforms, requirements on the vehicles used, drivers’ qualifications and insurance requirements to ensure the safety of passengers.
The framework would also spell out a “new environment” for taxis to operate in, he said.
“Online-hailed cars should co-exist with taxis to provide quality point-to-point personalised transport services for the public,” Lee said.
When asked about the number of licences the government plans to issue to cars providing e-hailing services, Lee said the authorities have to “create room” that is “favourable” for the operation of taxis.
He added that the legislative proposal would first tackle issues on which the public had a consensus before resolving other technical matters.
Grey area
Ride-hailing apps currently operate in a grey area in the city, which requires vehicles offering hailing services to have a hire car permit. Private vehicle owners who sign up with online platforms to provide hailing services without a permit could be punished by up to six months in jail and a HK$10,000 fine for the first offence.
Ride-hailing services such as Uber have seen rising popularity amid long-standing dissatisfaction with taxi service standards.
In February, a taxi union announced a plan to stage a five-day strike to put pressure on the authorities to commit to a crackdown on ride-hailing services. The plan was called off a week later after the chief executive warned that “drastic action” would not receive public support.
Last month, Uber, which has operated in Hong Kong since 2014, revealed it had more than 30,000 drivers in Hong Kong in the past year.
Andrew Byrne, the company’s global head of public policy, expressed concerns last month over a potential driver quota under the regulatory framework, which he said could ” make ridesharing less reliable.”
A cap on the number of drivers and vehicles allowed on the platform could result in longer wait times and higher prices, while limiting ways for people in Hong Kong to earn an income, he warned.
