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Tuesday, May 24, 2022

More e-hailing drivers expected, says Wee after fare spike

 

A leading operator has assured the transport ministry it will allocate more resources to increase the number of drivers.

PETALING JAYA: More people are expected to register as e-hailing drivers, says transport minister Wee Ka Siong, following complaints of a surge in fares due to a lack of drivers.

After a meeting between his ministry, the land public transport agency (Apad) and a certain e-hailing operator “involved in the surge in fares”, Wee said more than 130,000 people currently held vocational licences to work as e-hailing drivers.

“This group is expected to grow as driving schools and e-hailing operators receive more candidates wishing to become e-hailing drivers for the 21 operators with active licences nationwide, including the Klang Valley.

“The operator concerned has also assured the ministry of allocating more resources towards increasing the number of drivers currently available,” he said in a statement today.

Wee said the main reasons for the price increases were a mismatch in supply and demand as well as heavy traffic.

He said some companies saw a 30% drop in the number of registered drivers compared to pre-pandemic times.

“This lack of drivers has indirectly led to longer-than-expected wait times for a vehicle in some places. We are also witnessing a sudden increase in demand for e-hailing services after the country began its transition to the endemic phase.

“The same period also saw a lot more economic activities compared to the height of the pandemic. Daily life seems to have returned to some normalcy and, expectedly, more traffic congestion as Malaysians move about more freely.”

In terms of e-hailing fares, Wee said there were two charges, namely the base fare and surcharge. The base fee was not regulated by Putrajaya while the surcharge could not be more than twice the base fee amount.

“The operators are permitted to set their fare structures based on their own formula and their terms of service with their consumers in a free market,” he said.

He urged e-hailing operators to improve their communications with consumers, adding that the ministry will continue monitoring the industry to ensure fairness for consumers. - FMT

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