Road to improving Hong Kong’s taxi services far from smooth

With more than 2,000 fleet taxis currently on the road, there are at least more choices. As of the end of May, the five fleets – SynCab, Big Boss Taxi, Amigo, Big Bee Taxi and Joie – had completed about 4.2 million trips in total. But the number of vehicles still falls short of the government’s target of 3,500. Currently, there are 18,163 taxis in total, with the average daily patronage nearing 1 million, while the five premium fleets employ some 2,400 drivers, with an average age of 47.

For years, the taxi sector has been criticised for poor service, ageing fleets and weak accountability. Adding to the pressure is the growing competition arising from tech-driven ride-hailing services. The premium model put forward by the government was meant to show that taxis can compete in today’s environment when they become cleaner, more professional and reliable.

Despite the progress, the scheme should not be taken as a success yet. As Commissioner for Transport Winnie Tse Wing-yee rightly acknowledged, operators have to step up their efforts in attracting new blood. It is good that various measures have been in place to reinforce the scheme.

Indeed, driver shortages remain a serious constraint. The level of earnings, working conditions and competition from other transport options continue to discourage new entrants. Without a stronger pipeline of drivers, even the best-designed fleet cannot deliver the service standard the public expects.

The question is therefore whether a limited quality taxi service can scale up in a sustainable way and produce a meaningful improvement in the daily experience of passengers. The ongoing regulation of private ride-hailing services will further reshape the market, resulting in a longer period of consolidation and adaptation. Officials and the industry should drive harder so there will be more diversified, efficient and reliable transport services for passengers.