Licenses for online ride-hailing services 'not a good thing'

Ayra Wang

Legalizing online ride-hailing services is unfair to the taxi industry, as the administration cannot simply issue a license to legalize something illegal, Hong Kong Taxi and Public Light Bus Association chairman Chow Kwok-keung says.

This comes as the Transport and Logistics Bureau will present the preliminary results of its study into regulating online ride-hailing platforms to the Legislative Council next Friday.

Speaking with HK01 news portal, Chow, who also owns a local motor trading company, said he is strongly against licensing online ride-hailing services.

"It's astonishing that something illegal [online ride-hailing platforms] keeps asking for legalization; [it's] quite annoying if people keep talking about legalizing the platforms," Chow said.

Issuing licenses for online ride-hailing services is "not a good thing" for society, he said, as it will set a precedent that illegal products and services can enter the Hong Kong market first and then be legalized when they become popular.

"It's an exploitation of the taxi industry. Pick-up service is not as easy as the public thinks and all service providers in the transport sectors need to be regulated with licenses," he added.

However, Chow admitted that the industry needs reforms to improve service quality and restore reputation among passengers through measures such as installing CCTV and providing e-payments.

He welcomed Uber, a major online ride-hailing service operator, to continue cooperating with taxis but emphasized that the company must stop private cars from using the platform.

Meanwhile, Association of Hong Kong Taxi Administrators chairman Leung Tat-chong said the taxi industry cannot stop the online ride-hailing trend and issuing licenses will create a win-win situation.

"Online ride-hailing services can provide more options for citizens and drivers, which will make citizens more comfortable and reduce conflicts between citizens and taxi drivers," said Leung, also a taxi driver.

He said online ride-hailing services can benefit the taxi industry but suggested limiting the number of licenses issued.

He called on the administration to lead reform in the industry and combat illegal acts by taxi drivers.

Transport sector lawmaker Gary Zhang Xinyu urged the administration to "put people's needs first" and promote taxi industry reform.

"Citizens' needs should be the top priority when the government makes policies while the government should also take the income of frontline drivers into consideration to make it stable," Zhang said on Facebook.

"However, the earnings of license owners and investors should never be the foundation of policy making and social development."