KUALA LUMPUR: The government will restructure taxi fares to ensure that taxi drivers are not left behind economically, says Anthony Loke.
The Transport Minister said that the increased competition from e-hailing apps forces the government to step in to assist taxi drivers to play a vital role in the nation’s public transport system.
The minister said this at the launch of the National Madani Taxi Rejuvenation event here on Friday (July 3) which featured red sedans redesigned as the new face of Malaysian taxis.
The event was officiated by Prime Minister Datuk Seri Anwar Ibrahim and also attended by Minister in the Prime Minister's Department (Federal Territories) Hannah Yeoh.
“The government is introducing a new identity for taxis in Malaysia. Featuring a more modern design without the traditional taxi topper, the use of the special "GET" registration series, and digital taxi meters, taxis will have a more contemporary appearance, be more easily recognisable, and inspire greater public confidence in taxi services.
“The Transport Ministry is taking proactive measures (to rejuvenate the taxi industry) through several key initiatives: Undertaking the Klang Valley Public Transport Strategic Plan study, which will determine the future direction of public transport, including a review of taxi fare structures.
“The ministry will be developing taxi vehicle financing packages in collaboration with the national automotive manufacturer; and provide training programmes for taxi drivers to enhance service quality and professionalism in collaboration with the Tourism, Arts and Culture Ministry and the Malaysian Road Safety Council (MKJR),” said Loke.
Loke further said that taxi drivers should also equip themselves with new technologies as the way people use transportation has changed significantly.
“In the past, passengers waited for taxis at taxi stands or by the roadside. Today, bookings are made through mobile applications. Therefore, transforming the taxi industry is not merely about replacing old taxis with new ones, but also about ensuring that taxi drivers have greater opportunities to receive bookings through e-hailing platforms.
“The government continues to encourage closer collaboration between the taxi industry and e-hailing platforms. We do not see them as competitors but as strategic partners that complement one another in delivering better transport services to the public while helping taxi drivers increase their earnings.
“This collaboration will provide consumers with more choices and create greater income opportunities for taxi drivers. This is the government's primary objective: to help drivers increase their income, reduce operating costs, and deliver better services to the people,” said Loke.
Last year, the Federal Government announced a 100% exemption on excise duty and sales tax for taxi owners purchasing new nationally manufactured vehicles under the 2026 Budget Initiative.
On the new Proton S70s to be owned by taxi drivers under the National Madani Taxi Rejuvenation Programme, Loke said this marks a significant step towards transforming Malaysia's taxi industry into one that is more modern, competitive, and capable of continuing to play a vital role within the nation's public transport ecosystem.
“To support the implementation of this programme, the DRB-Hicom Group, through EON-Avis, together with participating financial institutions, will provide various financing options to enable taxi drivers to transition to new vehicles according to their individual needs and financial capabilities," he said, adding that taxi drivers will be able to choose financing packages that best suit their financial circumstances.
