City to get tough on car-hailing
Print Edition
SHANGHAI is aiming to strengthen the rules that govern the use of private cars as taxis in the city.
Only drivers with residency, or hukou, and who have vehicles with local plates will qualify for the car-hailing business, according to draft rules released by the city government on Saturday.
Traffic violation records will be taken into consideration when drivers apply for a license. People with more than five traffic violations in a year will not qualify, while former taxi drivers who have had their licenses revoked in the five years before they apply would also be rejected.
Cars should have a maximum of seven seats, a GPS device that can record data, and emergency alert devices. They must have a minimum wheelbase, for petrol cars, of 2,700 millimeters, and 2,650mm for new energy cars.
Drivers must have more than three years’ driving experience, and have no convictions for violence, dangerous driving, drug abuse or driving under the influence.
“It sounds like a good measure, tightening regulations on the market by restrictions like hukou,” said city resident Mona Lu. “If the driver has a local accent that I’m familiar with, of course I will feel safer. For taxis, if anything goes wrong, I can look for the taxi companies; while for ride-hailing vehicles, it feels more like individual against individual.”
Some residents expressed concern over potential fare increases.
“The fares have increased a lot since the merger between Didi and Uber,” said Liu Lin, 26. “If the policies roll out, there will be even fewer vehicles, it will be more difficult to get a cab in peak hours and the price will be even higher.”
However, Niu Biao, a 39-year-old driver, said he had already been thinking of quitting the business because “subsidies from the platform are getting lower.”
He came to Shanghai from east China’s Anhui Province when his business failed and started work as a driver.
If the draft policies take effect, he will not qualify for the job.
Two other guidelines, one on car-pooling and one on reform of the city’s taxi industry, were also released for public comment.
Vehicles for car-pooling must be privately owned and also have local plates, while insurance for people in the vehicle must be purchased in advance and drivers must have at least one year’s driving experience.
The guideline suggests that service fees should only cover fuel and toll fees. It also says that registered vehicles can provide car-pooling services at most twice a day.
The other guideline encourages traditional taxi companies and ride-sharing companies to combine traditional and emerging businesses, while taxi companies are encouraged to set up their own platforms for online car-sharing services.
They are also urged to improve conditions to retain existing drivers and make the job more attractive for job seekers.
The draft rules were welcomed by Shanghai taxi firm Dazhong. It said they would help regulate the emerging market, ensuring the rights and safety of drivers and passengers.
“It will be good for the development of the taxi industry and the residents’ transport experience. Effects of the regulations lie in strict enforcement of local authorities and observance of ride-sharing platforms,” it said.
Beijing and Shenzhen also released local drafts on ride-sharing services. The draft in Beijing also requires drivers to have hukou and local car plates; while Shenzhen says drivers with residency permits can apply.
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