” Industry- OFFS” TO FORM A DIFFERENT CATEGORY
Mr. Chee responded to MPs Gan Thiam Poh( PAP – Ang Mo Kio ) and Yip Hon Weng’s suggestion to create a separate category for car leasing companies or treat them like taxis that don’t have to bid for COEs by saying there would be” trade-offs” to implementing this measure.
Given Singapore’s zero-growth coverage, the quota for this new category would have to be taken from current categories, he said, just like for taxis.
It is challenging to determine the precise limit needed to meet the needs of drivers and riders because( private-hire vehicle ) demand is still evolving and may differ from quarter to quarter. He continued,” There is a danger that COE prices may rise further if we move too much of the current limit from Categories A and B to this new group for( private use vehicle ) companies.” This will further reduce the supply in these groups.
On the other hand, if we do not add ample limit to the new group, owners will run out of cars to rent and travellers may be impacted by P2P( point-to-point ) service scarcity.
Additionally, the Transport Ministry stated in September 2022 that removing personal rent cars from the regular COE bidding pool will inevitably increase consumer costs.
However, Mr. Chee stated on Monday that in order to address these issues with car rental companies, the government would look into the possibility of” further options beyond COE buying.” It acknowledges that secret use cars” do go longer distances on our roads but also serve an important work in providing P2P solutions for Singaporeans.”
He continued,” Personal rent cars are extremely meeting the need for P2P companies rather than taxis.” As of September 2023, private use trucks are used for approximately two out of every three P2P visits, compared to three out every five trips prior to the pandemic.
The overall secret employ car population as of September 2023 is estimated to be around 78, 000. The majority of personal employ vehicles, including those from ride-hailing companies, are self-driving, while about two-thirds are chauffeured private rental cars.
As of September 2023, about 53, 000 people will be in possession of a private hire car driver’s vocational license( PDVL ), enabling them to offer ride-hailing services. In September 2023, at least two-thirds of PDVL recipients drove company-owned vehicles; the remaining drove personal vehicles.