The Malaysia Taxi Drivers’ Coalition has asked the Land Public Transport Commission (SPAD) to persuade the Ministry of International Trade and Industry (MITI) to provide taxi drivers and operators with approved permits (AP), according to the News Straits Times.
Spokesman Norfaiza Abdul Ghani said that awarding APs to taxi permit owners would allow them to purchase better car models, adding that the finance ministry should also grant them excise duty exemptions for vehicles to be used as taxis.
“This can reduce operation costs by up to 40 per cent because cheaper vehicles will translate into cheaper bank loans,” he said. “Cheaper vehicle prices also means that we can purchase better cars. For example, a Toyota Vellfire, which normally costs more than RM200,000, can be purchased for between RM60,000 and RM70,000 with APs and excise duty exemption.”
Norfaiza added that higher-quality vehicles could help rebrand the taxi industry and provide passengers with better value. He also said that many taxi drivers were saddled with car loan repayments as high as RM1,500 a month for budget taxis and RM2,700 for executive taxis, when an average driver earns around RM150 a day. The association will submit a proposal to SPAD, MITI and the finance ministry by the end of the month.
Taxi driver Abdul Razak Zabir told the English language daily that he was struggling with the rising cost of maintenance on his vehicle, saying that he has to drive almost 500 km a day to make ends meet. “At this rate, tyres need to be changed every six months and engine oil must be changed every 10 days. We need to spend RM500 a month on budget taxis and RM900 on executive taxis just to maintain them,” he said.
Abdul Razak also urge the government to not limit its plan to provide a RM5,000 cash grant – for drivers exiting the taxi rental or pajak system – to those who were not blacklisted. “This is because many taxi drivers have fallen on hard times, and it is not uncommon for them to default on bank loans,” he said.
In the cabinet-approved Taxi Industry Transformation Programme (TITP), ride-sharing services like Uber and Grab will be legalised and regulated, requiring drivers to have a SPAD-issued driver’s card and vehicles to undergo compulsory road-worthiness inspections.
Additionally, all cars with an ASEAN NCAP rating of at least three stars will be eligible to be used as taxis, while taxi operators will be required to provide drivers with a rent-free day for Puspakom inspection, annual and sick leave, first party vehicle insurance and deposit refund at the end of the contract. Driver screenings will also be more stringent, and fare structures will be revised for consistency.
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AI-generated Summary ✨
Comments express mixed opinions on the taxi drivers' requests for APs and duty exemptions, with many supporting the idea of affordable, quality vehicles like Proton and criticizing excessive taxes and cronism. Some believe APs will lead to higher resale profits for taxi owners or promote selling to middlemen. Others believe this will encourage corruption and unfair practices, including misuse of luxury MPVs like Vellfire, which are costly to maintain. Several comments criticize taxi drivers' attitudes, arguing that better service and proper maintenance are more crucial than vehicle type. There’s skepticism about the feasibility of cheap imported luxury cars for taxis and concerns that such policies could worsen industry issues, including inflated car prices, poor driver behavior, and systemic corruption. Overall, the sentiments reflect frustration with current regulations, but also doubts about the practicality and fairness of the proposed incentives.