PH Update – New Big Player plus Street Hail for Private-Hire Car

Street Hail Private-Hire Cars

Private-hire car rules may soon change and you may be able to flag down a Grabcar or Go-Jek on the streets.

In a review of the taxi and private-hire industries in Singapore, the Land Transport Authority (LTA) has proposed a new Street Hail Service Operator Licence (SSOL). Companies that possess the SSOL licence will be allowed to provide street-hail services.

Street Hail Service Operator Licence operators are similar to those of taxi operators. They are required to have their own fleet of vehicles and maintain a minimum fleet size.

Currently, street hails makes up 70 per cent of total taxi trips.

Private-Hire Players buying BMWs to attract Drivers

image – BMW Singapore

The Straits Times reported that orders have been placed for at least 200 BMW 2-Series supplied by Performance Motor and 1,000 Opel Insignia supplied by Auto Germany.

Despite a large unused vehicle inventory of more than 2,000 vehicles left behind mainly by Uber, industry players have proceeded to update the fleet.

The new continental fleet will attract drivers who dream of driving a continental car and existing drivers who are driving older vehicles to upgrade.

Comfort Delgro to relaunch dynamic pricing and join in the Private-Hire Battle

surge pricing
image credits – Straits Times

Comfort Delgro, Singapore’s biggest Taxi operator, is planning to relaunch dynamic surge pricing.

Back in 2018, Comfort Delgro Taxis were allowed to opt into the JustGrab booking system and enjoyed the dynamic surge pricing that it offered. However, the Land Transport Authority (LTA) intervened and warned Grab that all taxis should offer only metered fares unless the taxi company had endorsed Grab to offer flat fares on their behalf.

As a result, all Comfort Delgro Taxis were removed from the JustGrab system. Riders were only able to book Comfort Taxi under the GrabTaxi service.

commercial Car insuranceComfort is also considering to open up its booking app to private-hire drivers. The taxi business has been badly affected by the entrance of private-hire vehicles since 2013.

Taxi Operators saw their market share and revenue shrink as consumers moved towards lower-priced private-hire cars.

By opening up to private-hire cars, Comfort Delgro can possibly regain some market share and open up a new revenue stream from private-hire vehicles.

Comfort Delgro had a tie-up with Uber in 2018 but Uber decided to pull out later as they concede to Grab in South-East Asia.