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Legalising e-hailing services


Road ahead: The Government is seeking to regulate the e-hailing services industry to give more protection to passengers and drivers, among others.

Road ahead: The Government is seeking to regulate the e-hailing services industry to give more protection to passengers and drivers, among others.

LAWS have been tabled in Parliament to regulate e-hailing services while protecting the drivers from being harassed and assaulted in the future.

The Government is seeking to introduce an intermediation business licence, following amendments to the Commercial Vehicles Licensing Board Act 1987 and the Land Public Transport Act 2010, to legalise e-hailing services as a public vehicle.

The proposed amendments, tabled for first reading by Minister in the Prime Minister’s Department Datuk Seri Nancy Shukri, provide for the renewal of an intermediation business licence, including the application and conditions for the renewal of such licence within the period and in the manner determined by the Commercial Vehicles Licensing Board (CVLB).

The Bill seeks to define an e-hailing vehicle as a motor vehicle with a seating capacity of four persons and not more than 11 persons (including the driver) for any journey for single or separate fares with booking made through electronic mobile apps.

Under Section 26A (1), it will be compulsory for a company operating e-hailing services to have an intermediation business licence and comply with the conditions set by CVLB.

These include the type of service provided, measures to safeguard the safety and security of passengers and standard of performance to be complied with by the e-hailing companies.

An individual providing e-hailing services operating without an intermediation business licence can be fined up to RM500,000, jailed up to three years or both upon conviction.

Those who fail to comply with the conditions set by CVLB can be fined between RM1,000 and RM200,000, jailed a maximum of two years or both upon conviction.

Meanwhile, under amendments to the Land Public Transport Act 2010, Section 200 is amended to include offences involving a person who assaults, hinders or obstructs those involved in e-hailing services.

Those convicted may be liable to a fine of RM1,000, imprisonment not exceeding three months or both upon conviction.

Under Section 12E, those operating e-hailing services cannot transfer or reassign their licence. If they do, they can be fined between RM1,000 and RM10,000, jailed up to one year or both upon conviction.

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