Editorial | Hong Kong’s move to give ride-hailing apps the green light is long overdue
As the details of the framework for ride-hailing apps are worked out, it is hoped that legal clarity will benefit all stakeholders
The green light by the incumbent administration for such services to legally operate as early as next year marks an important step forward. Chief Executive John Lee Ka-chiu stressed that, despite the complexity of the issues involved, the problem must not drag on.
The long-overdue regulatory framework sets out the broad requirements for platform operators, vehicles and drivers, leaving details such as the number of vehicles allowed and permit fees to the next stage of legislation. Under the proposal, platform operators must meet a certain investment commitment and pay a platform licensing fee based on the size of the fleet. A per-trip levy is also being considered to support government measures to improve taxi services.
Drivers must be aged 21 or above, hold a private driving licence for at least one year and have had no serious traffic incidents in the past five years. Both operators and drivers will be subject to renewable licences every five years, and vehicles once a year, to prevent the speculative trading that was rampant in the taxi trade.
The number of vehicles under each platform will be capped, with each vehicle – not older than seven years – registered under the name of the owner who would have to buy commercial insurance.