Regulator kills proposal to legalise ride-sharing apps

Regulator kills proposal to legalise ride-sharing apps

The Land Transport Department has swiftly rejected an initiative calling for an amendment to the Land Transport Act to allow smartphone-based ride-sharing service companies to operate legally alongside traditional taxi services.

The recent initiative was jointly drawn up by California-based Uber and Brazil-based Easy Taxi.

Teerapong Rodprasert, director-general of the department, said taxi-booking app services were operating illegally in Thailand, and their drivers faced heavy fines for using improper cars and fare structures.

The department has fined about 100 drivers since it declared the service illegal last November, with fines of up to 1,000 baht each.

"We don't intend to amend the Land Transport Act of 1998 to support the unlawful ride-sharing app services," Mr Teerapong said.

In practice, smartphone-based taxi-booking services have not been deemed illegal, as they are just a technology-driven initiative, he said. But using improper cars for digital ride-sharing services is illegal.

The department plans to issue a regulation to support the use of mobile apps for taxi services this year, adding it to the existing rules that govern only conventional taxi services.

Mr Teerapong said drivers offering ride-sharing services would require yellow licence plates and green number plates instead of using improperly registered public vehicles and private vehicle driver's licences.

Yellow plates are meant for the interprovincial taxi service, while green plates are meant for special business services such as airport limousines or hotel limousines. With the green licence plates, the company can freely set its own fare structure.

Mr Teerapong said with proper vehicle registration, his department could keep records for criminal record checks and driving record verification. The department can also examine drivers' backgrounds, as commercial driving licences must be renewed every three years.

"Our regulations and requirements are aimed at ensuring the safety of passengers who use smartphone-based ride-sharing services," he said, adding that they could also protect third parties such as insurance companies.

Mr Teerapong said his department would welcome further discussions with Uber executives, adding: "We only met with Uber's legal representatives last year."

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