The so-called yellow taxis are bidding farewell to Macau’s roads this Thursday, due to the failure of Vang Iek Radio Taxi Company to reach an agreement with the government.
The company and the government were negotiating a possible renewal of the contract that expires on Thursday, but Vang Iek’s request to introduce an additional fee for dial-a-cab services was not approved by Macau’s administration.
Vang Iek has complained of a lack of support from the government, leading to its decision to withdraw from the market. “We have discussed with the Transport Bureau the problems we have encountered and the losses we’ve suffered. During this time, we have tried our best, but without the government’s support, it was really hard to perform our duties,” the executive director of the company, Cheang Veng Chio, said.
He revealed that the lack of human resources was Vang Iek’s main issue, causing the company to now cease its operation. The administration had issued the company “an ultimatum” last week, requiring Vang Iek to provide only dial-a-cab services after November 6. However, the operator has always claimed that it could not survive providing dial-a-cab services only, hence the suggestion of an additional fee.
Social commentator and former Macau Polytechnic Institute professor, Larry So, is disappointed that none of the parties reached a compromise. The Macau Taxi Passengers Association (MTPA), who operates the Macau Taxi Shame Facebook Group, said they are “shocked, bewildered and outraged at the decision of the Macau government to cancel the yellow taxi radio cab service.”
The Transport Bureau (DSAT) announced last weekend that they did not reach a consensus on the extra service fee, TDM News reported. DSAT’s director, Wong Wan, said that the government will launch a public tender. No further details regarding a schedule were disclosed.
“Vang Iek insists that the government has to accept the extra service fee, and set a time limit to update it. We find this difficult to accept. The government has decided to not renew the contract after the 100 taxi licenses granted to Vang Iek expire on November 6,” he revealed, as quoted by TDM.
Wong Wan said that the extra charge would put the flag fall rate for dial-a-cab taxis at over MOP30. The government believes that, in reality, Vang Iek operates 40 mixed-operating taxis and around only 20 providing dial-
a-cab services. To meet demand, he recalled that 100 new black taxis are entering the market in December with a further 100 being released next year.
Mr Wan’s words, however, have not convinced Macau’s citizens.
The Macau Taxi Passengers Association, for instance, said in a press release that “Macau has a drastic shortage of taxis and the decision to force taxis off the road borders on moronic.”
MTPA’s president Andrew W Scott said the authority’s decision “is absolutely crazy.” “The government is cancelling the licenses of a much-loved taxi company and leaving a monopoly for the black taxis, who are regularly condemned for their outrageous illegal and anti-social behavior,” he added, stating that Macau’s taxi industry needs more competition, not less.
Lawmaker José Pereira Coutinho told the Times that “Macau’s public transportation will only worsen” and “abusive situations will continue”.
The legislator said that this is “a dramatic situation” and that the government should have launched a public tender years ago. “It is important to open up the market to more competitors and to grant more black taxi licenses to meet current demand.”
Social commentator Larry So also sees the cancellation of yellow taxi services as bad news for Macau residents. He dubbed taxi facilities overall in Macau as “terrible.” The scholar believes that the local community needs dial-a-cab services, and called on the government to enforce regulations on taxi services.
“Taxi services in itself do not seem to serve the local community, because the government is not enforcing regulations or even the law. Regardless of their type, it is very difficult to get a taxi in Macau, especially during peak hour,” he recalled.
Mr So stressed that providing taxi services for the local community is fundamental. “Taxis must be available for people in Macau, it cannot be only to serve tourists.”
Larry So thinks dial-a-cab services are needed, but does not agree with an additional fee requested by Vang Iek. The occasional increase on the fare is acceptable, but not an additional fee, he said. “We are already paying additional fees to get to the airport, for instance. It’s not fair, because we already pay an extra fee for the luggage. It’s enough,” he argued.
The government is currently revising legislation on taxi services, seeking to put an end to unlawful actions such as fishing, in which drivers sometimes ask for 10 times more than the original fare, or refuse particular passengers, who they think will refuse to hand over additional payments. Options on the table include introducing undercover officers to supervise taxi drivers’ behavior, as well as installing CCTV systems in the vehicles. Data collected during the public consultation period remains under assessment.
Vang Iek’s license had been extended last February, and included an agreement that the company would provide 60 percent of its taxis on a dial-a-cab basis, and 40 percent offering regular service.
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