The Malaysian Insight

RIDE-SHARING service Grabcar is confident that the move to legalise its e-hailing services will increase its driver numbers.

Sean Goh, country head of Grab Malaysia, said the proposed regulations will ensure that drivers “feel more comfortable on the road” as well as help passengers feel safe.

“Definitely, we expect our drivership to go up. Something that I have always said about the regulation is that we have always been legal. It is just not ascertained in terms of what the regulatory requirements are.

“For instance, we provide groupwide personal accident insurance coverage for all our drivers and passengers, but before the full regulation, people tend to ask questions like ‘am I really covered by insurance or not?’ or ‘is the claim gonna go through’,” he told The Malaysian Insight.

Goh said Grab will assist drivers once the amendments to the Land Public Transport Act 2010 and Commercial Vehicle Licensing Board Act 1987 are passed.

“Although our current drivers are already legitimate, there will be certain regulatory requirements (in the amendments) that enhance safety. We will certainly be guiding our drivers through that process to make sure that they know what to do and not go against the law.”

He also said the delay in passing the regulation is seen by Grabcar as a move to provide a comprehensive bill to the public.

“We see the delay in regulation as a move to provide more certainty to our users and the various stakeholders whether it is SPAD (Land Public Transport Commission) or our other partners.

“Regulation is a very key part in providing that certainty, but we are not in a hurry. We have been operating in a new area for a while now. What is important is for us to get it right,” he said.

On the other hand, some e-hailing drivers are unsure about the move to regulate ride-sharing services.

Lee Jian Wei, 23, a ride-sharing service driver said that he is worried that the licensing fee will be too high for him.

“The whole point of me driving is to save money and make the most out of it. If I were to pay for an expensive licence, I don’t think it will work out for me,” he said.

Lee, who declined to say which ride-sharing service he is working for, said that the  proposed regulation will also anger taxi drivers.

“Look at it this way, taxi drivers have been here forever and they have monopolised the market for so long. Do you think they will just give way to drivers like us when the law is passed? I don’t think so,” he said.

Another driver, who wished only to be known as Hazir, said he was worried that the registration of current ride-sharing service drivers would be troublesome.

“For instance, if we have a long queue for our vehicle inspection when we register, we will waste time, and drivers like us use time to drive. Who will pay us during this down time?”

He added that he also wished the government would be more transparent when tabling regulations like this.

“A RM500,000 fine without a licence? I didn’t know about this, I hope that the government will be more upfront when they make these laws,” he said.

The amendment bill to the Land Public Transport Act 2010 and the Commercial Vehicle Licensing Board Act 1987 highlights several terms and conditions for an applicant who wants to use the ride-sharing app as a source of income.

According to the bill, any applicant who operates without a business licence can be fined up to RM500,000 and or jail time of up to three years.

Applicants who do not follow the criteria set by SPAD can be fined not less than RM1,000 but not more than RM200,000 and or jail time up to two years.

The amendment bill, if passed, will give drivers a grace period of one year to apply for the new licence. – April 11, 2017.