Malaysia is looking into the risk of monopoly in the ride-hailing market following the merger of Grab and Uber, the transport ministry said on Wednesday (Jul 11).
Loke said both will be governed under the Land Public Transport (Amendment) Act 2017 and Commercial Vehicles Licensing Board (Amendment) Act 2017 beginning from July 12 onwards, and that it is compulsory for e-hailing companies to register with the Land Public Transport Commission (SPAD) and pay a fixed fee.
The monopoly review will be conducted by the Malaysia Competition Commission, the ministry said in a statement. "And if we find any elements of it, we will take action action against them", he told a press conference, here, today.
Loke said investigation would be initiated immediately.
"Our concern is always the fare implemented by these companies on the end user".
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Moreover, eligible vehicle brands must be certified to have at least three stars under the New Car Assessment Programme for Southeast Asian Countries (Asean NCAP).
This means, like taxi drivers, e-hailing drivers will also need to go through regular auto inspections, health inspections and renew their driver's card annually.
Ride-hailing drivers are given a one-year moratorium to fulfill the requirements.
On grouses by e-hailing drivers regarding high commission rate imposed by e-hailing companies of up to 25 per cent, Loke said the government had chose to cap the commission rates.
He also said meter inspection for taxi class licence would only be done once a year and the drivers must undergo six-hour driving training module at the fee of RM300 per person. Firms are not allowed to collect more than 10 per cent commission from taxi drivers using their platform, and not more than 20 per cent commission from other drivers.
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