By Saifulbahri Ismail, Channel NewsAsia, 7 Sep 2014
Taxi booking apps have helped passengers find taxis, complementing the Land Transport Authority's (LTA) push for more taxis to be on the roads, which it has done with the introduction of availability standards.
The standards are set to be reviewed next year, and the National Taxi Association has urged the LTA not to raise them or even consider lowering them.
The LTA told Channel NewsAsia that even though taxi apps are one way to match supply and demand for taxis, it is still dependent on the taxis being on the roads to accept such bookings. Hence taxi availability standards are still important. The LTA said it is reviewing the impact of third-party apps on the taxi industry and how it may benefit taxi drivers and commuters.
Taxi availability standards were introduced last year. During peak periods, taxi operators need to have at least 80 per cent of their fleet on the roads.
Since the implementation of the standards, the percentage of taxis on the roads during peak periods has increased - from 82 per cent in 2012 to 87 per cent in the first five months of this year.
More taxis are also being utilised - from 65 per cent to 68 per cent over the same period. This means more taxis are plying the roads, and more commuters are using them. The National Taxi Association attributed this to the growth in the use of third-party taxi apps on smartphones.
National Taxi Association executive adviser Ang Hin Kee said: "Have more commuters been able to get a cab during peak hours? Are more taxis plying the roads during peak hours? If, already we are achieving that, then I think the (taxi availability) indicators can stay as they are or be adjusted downwards."
National Taxi Association executive adviser Ang Hin Kee said: "Have more commuters been able to get a cab during peak hours? Are more taxis plying the roads during peak hours? If, already we are achieving that, then I think the (taxi availability) indicators can stay as they are or be adjusted downwards."
"You cannot ignore the fact that the apps have been a very effective way of matching demand and supply. We should welcome the fact that there are such tools, and therefore you don't have to use a very crude measure of availability indicators as it is today. We should welcome and be happy with the apps that are helping us meet the requirements," added Mr Ang.
The Association has been matching hirers and relief drivers to help cabbies meet the taxi availability standards. Under existing standards, taxi operators have to ensure 80 per cent of drivers clock at least 250 kilometres every day. Some drivers still have difficulties meeting the standards.
Premier taxi driver Foo Chi Yong said: "In the city, sometimes when you go for call bookings, you hardly travel any distance, and some of the drivers really can't make the 250km. So, it becomes a pressure for us and it will affect our livelihood and, of course, our driving."
Third-party taxi apps like GrabTaxi have helped cabbies get more passengers and helped passengers get a taxi quickly. "It's really useful, it takes no time to get a taxi anywhere, and anytime. I do use it a lot," said commuter Tan Thai Meng.
Third-party taxi apps like GrabTaxi have helped cabbies get more passengers and helped passengers get a taxi quickly. "It's really useful, it takes no time to get a taxi anywhere, and anytime. I do use it a lot," said commuter Tan Thai Meng.
GrabTaxi said call booking numbers have been increasing twofold every month since it launched the app last October. GrabTaxi's general manager Lim Kell Jay said: "Looking at the trend of technology, the proliferation of smartphones, more and more people are going to do stuff on their phones."
"Our goal is to one day make it so easy and so seamless for passengers to book a taxi through their phones - in the comfort of the homes, their workplace, in the restaurant - that there is really no need for them to be on the streets and hail a taxi anymore, or even call the call centre," added Mr Lim.
Taxis 'vanishing' from airport queues before peak hour
By Karamjit Kaur, The Straits Times, 8 Sep 2014
TAXIS are doing their disappearing act again and, this time, it is just before peak hour charges kick in at Changi Airport.
A Straits Times check at about 4.45pm on a recent Sunday found more than 80 people in the Terminal 1 queue, and hardly a cab in sight. But at 5pm, when the airport surcharge increases from $3 to $5 - as is the case from Friday to Sunday, taxis appeared, and the queue cleared in under half an hour.
On other days, cabbies collect an extra 25 per cent of the metered fare during peak hours from 6am to 9.30am, and after 6pm.
Travellers said they have noticed that queues can start growing 15 to 20 minutes before the extra charges kick in and, in some cases, the wait for a cab can exceed 30 minutes.
The problem has become worse with growing passenger and visitor numbers, observers said.
Changi Airport Group spokesman Robin Goh explained: "The long queue for taxis observed on Sunday (when The Straits Times was there) was due to the combined effects of a peak in weekend flight arrivals at T1, as well as the crunch in taxi supply generally observed islandwide between 3pm and 5pm, when taxi drivers change shift."
Airport ground staff have also noticed that some taxis intending to pick up passengers just before the start of the surcharge period may slow down.
Customers have long complained that taxis vanish just before peak hour, but this is believed to be the first time the problem has surfaced at the airport.
In 2012, the Land Transport Authority announced a slew of initiatives to be introduced gradually, including setting standards for taxi companies for the number of cabs that must ply the roads during peak hours, and the minimum mileage that drivers should clock up every day. Standards were also set for the run-up to peak hours.
But the cab shortage just before surcharges kick in has persisted islandwide.
For its part, the airport is taking extra measures.
Said Mr Goh: "We have deployed auxiliary police officers to patrol the roadways along Airport Boulevard, as well the taxi holding areas across all three terminals, to ensure that taxi drivers do not wait out in the taxi holding area."
Not all taxi drivers feel the need to comply.
Said cabby T.L. Wong, 53: "I don't see why it is so wrong for taxi drivers to wait for the surcharge so we can earn more. It is just a few dollars extra for the passengers anyway."
Despite the crunch, Indonesian housewife Nadia Wijaya, 62, who visits Singapore a few times a year, felt that Changi was still an efficient airport. "If you think this is crowded, you should come visit Jakarta," she said.
UBER, the car-sharing company, definitely has its place in the world economy. The question is how it should go about its plan to conquer the world.
Germany is right to ban Uber - for now
By Stephan Richter, Published The Straits Times, 13 Sep 2014
By Stephan Richter, Published The Straits Times, 13 Sep 2014
It operates on the same principle with which then US president George W. Bush used to "tackle" the Middle East - invade first, ask questions later. And clearly this is a problem.
Uber, which is already in various European markets, found its app blocked by a German court earlier this month, due to a violation of the Passenger Transportation Act. While the decision is temporary, pending a full hearing, the case highlights Uber's mounting legal difficulties in Europe.
Uber has vowed to disregard the court's ruling, but the company's own reasoning is full of holes. Uber has to contend with far more than just a foreign legal system. The German cab market already exhibits many of the consumer benefits for which Uber deems itself a unique solution - and many deficiencies of the US market simply do not exist in Germany (and most of the markets in Europe, which Uber has entered).
Here's what Uber must consider if it hopes to succeed abroad.
Different systems
IN THE United States, cab systems in major cities feature outdated clunkers as cars, and cabs may literally disappear when it starts raining. Here, Uber can be put to good use.
As a resident of Washington, DC, where cabbies still resent the introduction of metered fares, I know of the major shortcomings of standard cab service, which basically amount to a Soviet-style approach in terms of product diversity - and service reliability.
Uber has helped me out of a pinch many a time when I had to make sure that dinner guests could get a ride back to their hotel and there were no cabs around.
Thus, given the universality of clunkers and irregular service, the introduction of higher-quality, upmarket cars and a vastly improved notion of service - both of which Uber provides - is a definite benefit to American consumers.
Contrast that with the basic situation in Germany. Taxi service works like clockwork. You call one citywide number, and you can reliably expect a cab within five to 10 minutes. Pretty much the same timeline as Uber.
Also, there are basically no clunkers on the road - most operators buy Mercedes-Benz cars for their cabs, mainly for reasons of better durability. Riding in style is hardly what the Germans are lacking. From a consumer perspective, that implies a less immediate need for Uber, although it will find its place in the market.
Disregard of national laws
THE most breathtaking element of the Uber standard operating formula is to argue, as the firm's top executives regularly do, that no laws apply to the company.
Why? Because - get this - the sharing economy wasn't invented yet when the relevant laws and regulations for taxis were written. Ayn Rand must feel like resurrecting herself in excitement.
Uber must follow nationally established laws and regulations. Saying it is an app and therefore it is different begs disbelief. Most nations have established rules to introduce taxi service.
That, by the way, is exactly what Uber offers, no matter how much it tries to spin itself away from that and towards the fact that it is an innovative new app. (German taxis offer app-based service, too, these days, in addition to order by phone).
Uber can file applications, and once it meets the standards and tests others have to meet, it can start operating.
When companies argue that they are preternaturally above the law in other countries, it demonstrates exactly the type of hyper- arrogance that much of the world by now has come to expect from US businesses. It ultimately neither helps Uber's principal causes, nor those of the US.
Encroaching on entrepreneurial economy
ACCORDING to all the breathless apostles of the sharing economy, it will do wonders to promote micro entrepreneurship. The basic hoax behind this propagandistic claim in the field of car-sharing has been exposed in plenty of news stories already.
Never mind that operating a taxi system, to Uber's likely dismay, is still only a very early example of the sharing economy.
The taxi business in Germany is plenty entrepreneurial. Many operators are family-owned businesses - and hence represent a true blue case of entrepreneurship. Uber will thus detract from, not really add to, that equation.
Selective precaution
ANOTHER point of contention surfaces when you look at other examples of regulation, such as US food laws. Europeans are painfully aware of how hyper-protective the US authorities are about items being introduced into the country's food chain.
Take the absolute import ban on non-fermented cheeses from Europe - offering such delicacies to American consumers is strictly verboten, by unwavering decree of the US authorities. The ban is deemed a vital precaution to avoid unnecessary health risks - but it's not so in Europe, even though it's often said by Americans to be so much more regulation-prone.
What bewilders not just Germans, but most Europeans, is how a legal culture like that of the US can be hyper-cautious about great cheeses, but apparently can consider operating an app-based cab service like Uber a lesser risk that is not worthy of regulation
Double standard at play
THAT is one more reason why the battle of Uber going global also seems to be a story of a double standard at play. We do not live in a world where the laws are essentially made to be observed by all non-Americans, while US firms, whether by definition or divine intervention, have a right to operate above the law.
For a long time, there were global concerns that the Germans did not show proper leadership. Given a whole host of policy issues, from a renewables-based energy strategy to data privacy, Germany is showing its willingness to stand up to the US. Germany's economic might helps it to stay its course. It cannot be forced, as easily as some economically weaker nations, to roll over from determined resistance, whether from the US government or firms.
Mind you, none of these arguments makes a case against Uber. It will find its place in the market, whether in the US, Germany or elsewhere. But it needs to observe global differences, contradictions and obligations.
Mind you, none of these arguments makes a case against Uber. It will find its place in the market, whether in the US, Germany or elsewhere. But it needs to observe global differences, contradictions and obligations.
The free world definitely needs constant innovation to find a suitable way to a prosperous future. But it also needs a better balance within capitalism itself between the need to innovate and having everybody play by the same rules.
The era where everybody simply rolls over when faced with the latest American fad, gig or app is over. What's needed now is a properly understood transatlantic partnership.
The writer is publisher and editor-in-chief of The Globalist.com, a global current affairs website.
Taxi apps: Boon or bane?
In just over a year, taxi apps have taken the industry by storm. Last week, it was announced that the authorities are looking into regulating this burgeoning market. Danson Cheong looks at whether the apps cause as many issues as they solve.
The Sunday Times, 9 Nov 2014
In just over a year, taxi apps have taken the industry by storm. Last week, it was announced that the authorities are looking into regulating this burgeoning market. Danson Cheong looks at whether the apps cause as many issues as they solve.
The Sunday Times, 9 Nov 2014
It was Halloween night at Clarke Quay and the cab stands were packed, so Mr Chester Tan whipped out his phone to "grab" a taxi.
Minutes later, he got into one with a friend. The plan was to drop off his friend in Ang Mo Kio before heading home to Sengkang. "It was along the way, but (the driver) started yelling when we asked him to drop us at two locations," said the 40-year-old Mr Tan, who works in marketing.
He was forced to find another taxi, and the incident left a sour taste. He wanted to lodge a complaint - the question was, with whom?
"Do I go to the company that hired (the driver) or the operator of the taxi app?" said Mr Tan. In the end, he chose to leave a complaint on GrabTaxi's Facebook page.
With at least four taxi apps launched in Singapore in barely a year, questions such as these are increasingly coming under scrutiny. And this is part of the reason the authorities have decided to step in and address the regulatory gap.
In Parliament last Tuesday, Senior Minister of State for Finance and Transport Josephine Teo said that basic regulations were required to protect the safety and interests of commuters.
Since the first major taxi app, GrabTaxi, was launched here more than a year ago, the use of such apps has exploded among commuters and cabbies. GrabTaxi has seen its booking volume grow hundredfold since its launch; it now stands at about 40,000 a month.
Earlier this month, a fourth company, Hailo, joined the ranks of Easy Taxi, GrabTaxi and Uber.
But while they have given commuters more options, many say the apps have not quite been the hoped-for panacea to their taxi woes.
Mrs Teo pointed out that third- party apps only work by matching supply to demand - pairing commuters with partner drivers - and they do not increase the supply of taxis per se.
Undergraduate Foo Jun Kai, 22, laments that it is still near impossible to get a cab near his Hougang home during peak hours and bad weather.
Other commuters like Mr Nic Lim feel there should be more transparency.
The 34-year-old had booked a cab two weeks ago with GrabTaxi, and was matched with a Premier taxi - which he pointed out had the highest peak-hour current booking fee of $4.50 among cab operators.
"I've never realised that before," said Mr Lim, who works in advertising, adding that commuters should get to choose which cab company they are matched with.
Add the litany of complaints to worries that they might not have recourse if they are overcharged when using cashless payment systems in-built into some apps, such as Uber - and you can see why the Land Transport Authority (LTA) has chosen to step in, said transport experts.
SIM University's urban transport management expert Park Byung Joon feels a framework for dispute resolution would be among the steps taken by the LTA.
"Right now there are a lot of liability issues. For example, when you make an app booking and get into an accident, who should cover the cost - the operator or the app?" Dr Park pointed out.
National Taxi Association adviser Ang Hin Kee feels app operators should be held accountable in the case of complaints from cabbies and consumers.
"Just as (Smart Cab) was deregistered as a cab company; those who don't meet standards must have some form of demerit points."
THIRD-PARTY APPS: GOOD FOR CABBIES, BAD FOR TAXI OPERATORS
By Danson Cheong, The Sunday Times, 9 Nov 2014
By Danson Cheong, The Sunday Times, 9 Nov 2014
In the half-hour taxi ride from Jurong to Toa Payoh, cabby Chin Teck Seng's dashboard-mounted cellphone buzzed more than half a dozen times. He was not getting text messages, but requests for taxi bookings.
"Every five minutes, you'll get a booking, you don't have to wait," said the 65-year-old, who has been driving taxis for six years.
For cabbies, taxi apps have been a definite boon, with some saying they can earn about $50 more each day.
But it is not such a rosy picture for taxi operators, said Mr Seng Han Thong, deputy chairman of the Government Parliamentary Committee for Transport. "Somebody is taking away their business."
The Sunday Times understands that operators are discussing with the Land Transport Authority (LTA) what the new regulations should be.
ComfortDelGro, the largest taxi operator here, told The Sunday Times that the company would "welcome any regulatory requirements" that would safeguard the interests of commuters.
But transport experts say the regulations would also level the playing field for taxi operators which have been lagging behind in the app race.
National University of Singapore transport researcher Lee Der Horng points out that the status quo encourages double standards - the taxi operators have smartphone apps too, but these are monitored by the LTA.
At present, taxi operators are subject to Quality of Service standards which require them to meet benchmarks in areas such as responding to calls and matching commuters to drivers.
But beyond setting benchmarks, new regulations can also allow the LTA to rein in and prevent fare structures from spiralling out of control.
Some third-party apps set their own fares, such as Uber with its UberX service, which offers private cars for hire.
"Taxi fare structures in Singapore are already among the most complicated, are we adding even more confusion?" said Prof Lee, adding that if the LTA allows smartphone apps to set their own fare structure with taxis, it will in effect create virtual taxi fleets.
"These won't have their own cars but they will ride on other fleets - it's a grey area."
It is for reasons like these that taxi apps have stirred up controversies globally.
Germany has banned Uber outright, while Chinese cities such as Beijing and Shanghai have restricted their use to non-peak periods.
While an outright ban here is unlikely, experts say app operators should be ready for requirements such as opening their transactions and bookings to LTA audits, coming up with databases of commuters and drivers, and excluding private cars from their services.
But whatever happens, these apps have fundamentally changed how taxis here operate.
Comfort cabby Jason Ang, 43, now takes more bookings from GrabTaxi and Easy Taxi apps than through calls from Comfort.
Mr Ang, who has been driving for two years, said app bookings now form a fifth of an average of 20 fares for him each day.
"If the third-party app has jobs, I will take them for sure, right? I have to make a living."
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