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July 26, 2016

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New law to curb trade in driving license demerits

A tough new amendment bill aims to steer the city’s drivers in the right direction, targeting a range of infractions and promoting better transport practices.

Motorists who trade driving license demerits will face a maximum fine of 20,000 yuan (US$2,994), according to the new traffic regulation amendment released yesterday.

The amendment bill for the Shanghai Road and Traffic Management Regulation stipulates that those who ask other drivers to take demerits on their driving license for them will be fined 500 to 2,000 yuan.

Those who take demerits for others will be fined 1,000 to 5,000 yuan and may have their driving license suspended for up to three months.

Demerits traders will receive the most severe punishment — fines of between 2,000 and 20,000 yuan — and all profits made through illicit trading will be confiscated, according to the amendment bill, which was submitted to the Shanghai People’s Congress for evaluation.

The demerits trade is rampant among local drivers who use it to avoid losing all 12 points of the city’s license demerit system for traffic violations, police said. Those who lose all their points within a year have to take a 7-day training course and pass a driving test to regain their license.

The police have been cracking down on the illegal trade, but the current traffic regulation, which was enacted in 1997, does not cover it adequately.

Police in the Pudong New Area detained five people in May for trading driving license demerits online.

The new draft amendment also aims to further promote public and green transportation as well as impose tougher penalties on violators, Chen Jing, deputy secretary general of the city government, told legislators.

“Though the regulation was amended in 1999, 2000 and 2001, it can no longer meet the management demands for the current traffic and population conditions of Shanghai,” Chen said, adding that the city’s traffic congestion is getting worse as the number of vehicles on the roads increases.

To further control the number of private vehicles on the road, the amendment stipulates that the government must strictly regulate the number of car plates issued.

Temporary car plates, which are currently valid for up to three months, will expire after 30 days.

The amendment aims to encourage local residents to first obtain a license plate through the city’s monthly car-plate bidding process and then purchase a car, according to Chen.

The amendment also targets “zombie vehicles” that have been abandoned on roadsides and bans the use of vehicle horns within the Outer Ring Road.

The public are also encouraged to take videos of traffic violations and submit them to the traffic police.

Those who lose all 12 points on their driving license within a year will have it recorded in their personal credit database, which could affect their ability to obtain bank loans.

To promote green transportation, the amendment requires local companies to stagger working hours and allow employees to work at home, and encourages electric vehicle and bicycle rental services.




 

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