Singapore, Malaysia to expand cross-border taxi quota to 500 each, add two ride-hailing operators from Nov 16
CDG Zig and Kumpool will join Grab as licensed operators under the Cross-Border Taxi Scheme from Nov 16.
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SINGAPORE: Singapore and Malaysia will increase the quota of licensed cross-border taxis from 300 to 500 per country from Nov 16, as part of efforts to improve connectivity.
Two additional ride-hailing operators, Singapore-based CDG Zig and Malaysia's Kumpool, will also be licensed to operate under the enhanced Cross-Border Taxi Scheme from the same date.
The two operators will join GrabCar, bringing the total number of licensed ride-hailing and e-hailing operators under the scheme to three.
The changes were announced in a joint statement on Friday (Nov 6) by Singapore's Ministry of Transport and Malaysia's Ministry of Transport.
With the expanded quota, the scheme will be able to accommodate up to 1,000 licensed cross-border taxis from both countries, compared with the current combined quota of 600.
“Commuters and drivers can look forward to more options for cross-border point-to-point trips, greater convenience and a better commuting experience,” the ministries said.
The latest expansion follows enhancements introduced in May to give travellers greater flexibility while ensuring fairer operating conditions for transport providers and drivers in both countries.
Previously, licensed cross-border taxis could only pick up and drop off passengers at a single designated point in the other country.
They faced intense competition from illegal cross-border operators, who offered door-to-door services by picking up passengers from their homes and dropping them off at their intended destinations.
Under the enhanced scheme, passengers can be dropped off at any location in Singapore and within designated operating boundaries covering Johor Bahru, Iskandar Puteri, Forest City, Kulai and Senai.
Pick-ups in the other country remain restricted to designated locations, although three additional points were introduced in each country as part of the May enhancements.
In response to CNA queries about fares for cross-border taxi services, CDG Zig said it will announce further details later.
"We welcome LTA’s increase in the cross-border taxi licence quota and the award of the Cross-Border Ride-Hail Service Operator Licence to Zig," said head of Singapore point-to-point business Michael Huang.
"This will improve convenience for travellers between Singapore and Malaysia. We will work with the authorities and our drivers to operationalise the licences safely and reliably."
CNA has also contacted Kumpool for more information.
According to the transport ministries, commuters who have used the enhanced services responded positively to the flexibility of point-to-point drop-offs.
The ministries said officials from Singapore's Land Transport Authority (LTA) and Malaysia's Land Public Transport Agency (APAD) have continued working closely to identify further improvements to cross-border taxi services.
"The increase in quota is an important step towards strengthening cross-border connectivity between Singapore and Malaysia, and reflects the strong and longstanding cooperation between our two countries," said LTA chief executive Ng Lang.
"By expanding the availability of licensed cross-border services, we are giving travellers more options and greater flexibility for their journeys."
APAD director-general Ahmad Radhi Ma'arof welcomed the expansion.
"This shows a significant milestone in enhancing the cross-border passenger movement to complement the first-mile-last-mile connectivity between Johor Bahru, Malaysia and Singapore," he said.
Both transport ministries reaffirmed their commitment to strengthening cross-border connectivity, saying the latest improvements would support the close business relationships and people-to-people ties between Singapore and Malaysia.
Executive secretary of the National Taxi Association (NTA) Teo Siew Pan said that the doubling of quota within the same year - from 200 to 300 in May and to 500 from Nov 16 - has made members "understandably concerned" about job opportunities and their earnings.
Ms Pan added that the association has asked LTA to consider issuing the additional licences in phases, so as to balance the demand from passengers and the livelihoods of drivers.
"With more taxis joining the scheme, now is a timely opportunity to review how it can better support drivers, including adding more pick-up points" she said, adding that it welcomes CDG Zig and Kumpool in joining the scheme, which would give drivers more platform options.
"We will continue to gather our members’ feedback and raise their concerns at every stage of the rollout.”
