LTA to impose new measures to enhance P2P transport industry

This aims to improve its stability, contestability, and inclusivity.

The Land Transport Authority (LTA) will be implementing several measures to improve the stability, contestability, and inclusivity of the point-to-point transport (P2P) industry.

LTA will implement further measures to provide taxi operators with greater flexibility to manage their operating costs and support them in growing their taxi fleet.

These measures will align with those in the private hire cars sector to narrow the regulatory gap between the two types of vehicles providing P2P services.

Key initiatives include the continued suspension of the 2% annual taxi fleet growth cap, allowing taxi operators to convert used vehicles under five years old into taxis with LTA’s approval, and allowing taxi operators to resell taxis that are more than three years old—up to 5% of their taxi fleets annually.

On 19 February, LTA announced a three-year lock-in period for business-owned chauffeured PHCs (cPHCs). Additionally, LTA will also require the disclosure of a vehicle’s PHC/taxi history for all newly registered cars using Certificates of Entitlement (COEs) obtained from the COE bidding exercise ending 5 March or later and newly converted or transferred chauffeured or self-drive PHCs

LTA will also launch a P2P Inclusivity Co-funding Grant, which provides co-funding of up to 50%, capped at $500,000, to support innovative ideas that can improve access to P2P services.

In response to feedback from PHC drivers and commuters, LTA will convert nine of the most frequently used taxi stops in the Central Business District to “P2P stops,” which can be used as pick-up and drop-off points by taxis and PHCs.