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South China Morning Post
22-07-2025
- Business
- South China Morning Post
Can taxis and ride-hailing services co-exist in Hong Kong under new rules?
Hong Kong's proposed regulation of ride-hailing services shows that the government intends to take a slice of the market while reining in platforms and supporting the taxi trade, but the plan hinges on balancing the competing interests of all players, experts have said. Industry insiders added that the Transport and Logistics Bureau faced several challenges in achieving all three objectives. Secretary for Transport and Logistics Mable Chan, who took office last December, told lawmakers on Friday of her determination to resolve the long-standing conflict between taxis and ride-hailing services. Taxi drivers have repeatedly raised concerns that many Uber drivers do not hold valid hire-car permits while platforms have argued they provided better service. The bureau unveiled its regulatory blueprint earlier last week, outlining a comprehensive framework for governing drivers, vehicles and platform operators. Besides listing the necessary licences and permits that operators and drivers must hold, the proposal also includes a yet to be specified cap on the number of vehicles providing ride-hailing services and a levy imposed on platforms for each trip. Officials have cited the experience of the Australian state of Victoria, which introduced a levy to compensate cabbies affected by the legalisation of ride-hailing platforms.
Reuters
17-07-2025
- Business
- Reuters
Hong Kong government proposes first ride-hailing regulation
HONG KONG, July 15 (Reuters) - The Hong Kong government laid out proposals on Tuesday to regulate ride-hailing platforms, such as Uber (UBER.N), opens new tab, following years of talks and complaints from the city's licensed taxi drivers that they face unfair competition. Uber in 2014 became the first ride-hailing platform in Hong Kong and has operated without formal regulation. Police raided its office in 2015 and have arrested Uber drivers for operating without licences. The city's taxi industry, which has been struggling with declining income, has said the lack of regulation gives ride-hailing services an unfair advantage. In a paper submitted to the legislature, the Transport and Logistics Bureau said all platforms providing ride-hailing services must obtain a licence and comply with specific conditions. Anyone who provides ride-hailing platform services without a valid licence may be subject to imprisonment and fines. In a statement to Reuters, a spokesperson for Uber HK said the regulation was an "important milestone". "We are encouraged to see safety and service standards - such as mandatory insurance, driver examinations, and regular vehicle inspections - placed at the centre of the proposed regime," the spokesperson said. But the statement also said Uber was concerned about a proposed cap on the number of ride-sharing vehicles. "Artificial limits risk increasing wait times, raising prices for riders, and restricting earning opportunities for drivers," it said, adding Uber looked forward to continued talks with the government and other stakeholders. According to a survey carried out by Uber of more than 4,800 Hong Kong drivers, nearly 80% fear that strict quotas and high licensing fees could threaten their livelihoods. The city's leader, John Lee, told a news conference on Tuesday there was a consensus in society that ride-hailing services must be regulated to protect the safety of passengers. "I agree that the issue is complex, but I think the issue should not be delayed any further and the government must come up with a solution," Lee said. He also said it was necessary to create an environment in which the ride-hailing services and traditional taxis can co-exist. The Transport and Logistics Bureau said quota arrangements would be proposed in the first half of 2026. Prior to that, the proposals allow for the legal amendments to be submitted to Hong Kong's Legislative Council for approval in the third quarter of this year. Under the new law, anyone seeking a ride-hailing drivers' licence must be at least 21 years old, have held a private car licence for at least one year, have no serious traffic convictions in the last five years, and pass mandatory assessments and training.
South China Morning Post
17-07-2025
- Automotive
- South China Morning Post
Hong Kong taxi drivers must offer at least 2 e-payment methods from April 2026
Hong Kong taxi drivers will be required to accept electronic payments starting in April next year and complete the installation of journey recorders by early 2027, transport authorities have said, in an effort to improve service quality. In a paper submitted to the Legislative Council on Wednesday, the Transport and Logistics Bureau revealed that a significant portion of taxi drivers were expected to meet the e-payment requirements by early 2026. Authorities will coordinate with e-payment platforms to help drivers learn how to use such systems. 'It is proposed that the mandatory requirement for the provision of e-payment means by all taxi drivers be implemented on 1 April 2026,' it said. Under the plan, all taxi drivers will be required to provide at least two e-payment methods: one that uses QR codes and another that does not rely on them. 'Given the variety of e-payment means available in the market as well as the fast-evolving technology, we will not mandate a specific type of e-payment means to allow flexibility for taxi drivers to choose based on their operational needs and costs,' the bureau said. All taxis are expected to be required to install journey recorders by early 2027. Photo: Jelly Tse Meanwhile, the Transport Department will begin receiving applications and authorising suppliers to provide journey recording systems from the fourth quarter of this year. As a result, installation work is expected to kick off next year.
South China Morning Post
15-07-2025
- Automotive
- South China Morning Post
Hong Kong to regulate ride-hailing firms as early as first half of 2026, eyes levy
Hong Kong is set to legalise ride-hailing services as early as the first half of next year, paving the way for online platform operators to compete head-on with taxis after having existed in a grey space in the city for a decade. But authorities have stressed that taxis must also be allowed to survive and that ride-hailing platforms must abide by a set of standards and responsibilities, according to a much-awaited paper submitted to the Legislative Council on Tuesday ahead of a panel discussion on Friday. Setting out the direction of the proposed legal framework governing drivers, vehicles and operators of ride-hailing platforms, the Transport and Logistics Bureau also unveiled a plan for the government to have a share of the income. A highlight of the regulatory framework is that the government plans to charge the platforms a levy on each trip, similar to that of Australia at A$1.20 (78 US cents) per hire on ride-hailing and taxi services, to compensate cabbies affected by the legalisation of online ride-sharing firms. Companies will also need to pay a platform licensing fee based on the number of vehicles they operate. Operators of ride-hailing platforms and drivers will be subject to renewable licences every five years, and vehicles annually, to prevent the speculative trading that is rampant in the taxi trade.
South China Morning Post
15-07-2025
- Automotive
- South China Morning Post
Will raising fees solve Hong Kong's metered car parking crunch?
Industry experts have urged Hong Kong transport authorities to look beyond raising fees to free up metered parking spaces, with the government planning to double the charges from HK$2 (25 US cents) per 15 minutes to HK$4. Authorities could consider several methods to make motorists vacate slots, including varying rates, limiting parking time by registering licence plates or even implementing congestion charges or electronic road pricing, experts said. The Transport and Logistics Bureau last week said that it was proposing to raise parking meter fees from HK$2 per 15 minutes to HK$4 to boost the turnover of vehicles using these spaces to address the short-term needs of drivers. If approved, the increase will be the first since 1994. The bureau noted that the composite consumer price index had risen by more than 70 per cent during the same 31-year period. 'As the existing parking meter fees are significantly lower than the usual parking fees, some motorists tend to go around in circles to look for or wait for a vacant metered parking space, potentially leading to traffic obstruction,' the bureau said. 'Motorists also have less incentive to pull out of metered parking spaces, thus lengthening the waiting time for other users.'
