Gov’t advances ride-hailing taxi legislation following industry consultation

The Transport Bureau (DSAT) has outlined plans to advance ride-hailing taxi services, stating that it has collected feedback from the taxi industry, relevant associations, and advisory organizations, and is currently analyzing the responses as it moves forward with subsequent legislative work.

In a written reply to lawmaker Wong Kit Cheng’s interpellation, DSAT director Chiang Ngoc Vai said the bureau plans to review Law No. 3/2019 (Legal Regime for Passenger Transport by Light Rental Vehicles) to “create favorable conditions and an appropriate legal framework for taxi-hailing services via online platforms, as well as the corresponding regulatory mechanisms.”

“Under proper government supervision and within a market-oriented operational model, it will be possible, through technological and intelligent dispatch systems, to match supply and demand more efficiently, reduce taxi vacancy rates, increase response rates, and improve overall service efficiency, thereby enhancing travel convenience for the public,” he added.

Amendments to the new taxi law are expected this year to enable ride-hailing platforms.

In Wong’s interpellation, she noted that currently about five such platforms operate in Macau under inconsistent standards.

Industry feedback indicates that platform subsidies have done little to boost driver income, and there are concerns that illegal ride-hailing vehicles may be encroaching on legitimate operators. Drivers have reported that some platforms prioritize customer acquisition over driver welfare, creating unsustainable working conditions and further straining the industry.

Wong stressed that taxi operational efficiency in Macau has declined significantly, with the average daily distance traveled falling from 500 kilometers a decade ago to 317 kilometers today.

She noted that a key factor is the lack of mature ride-hailing functionality, which prevents drivers from accessing remote passenger demand and leads them to queue near border checkpoints and casinos, leaving residential areas underserved.

Wong also pointed out that most drivers operate under monthly rental arrangements, and rising rental costs combined with unstable existing platforms have compounded these challenges.

She emphasized that society expects the government to address these market issues when implementing ride-hailing taxi services, establishing a fair, sustainable, and user-friendly system that balances the interests of drivers, operators, and the public.

In her inquiry, Wong raised further questions regarding the functional positioning of the proposed ride-hailing taxi service and regulatory platform.

She asked whether authorities could take the lead in integrating real-time data from various ride-hailing platforms – including ride demand, vehicle distribution, response rates, and time-specific patterns – to establish a real-time monitoring, analysis, and intelligent dispatch system.

She further questioned whether such a system, with particular attention to peak morning and evening hours, holidays, and peak tourist seasons, could enhance the overall taxi response rate across Macau and reduce vacancy rates.

The DSAT confirmed that it has collected opinions from the taxi industry, relevant associations, and advisory organizations and is actively analyzing the feedback as it advances subsequent legislative work.

The bureau also indicated that further details regarding the implementation timeline and platform specifications will be released as legislative drafting progresses.