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Taxi drivers request against government entry into taxi services

Taxi drivers expressed their concerns regarding the establishment of a state-owned taxi line, to the Economic Committee of the Parliament today.

Ameera Osmanagic
30 October 2024, MVT 18:59
Drivers Association members at the Parliament's Economic Committee today -- Photo: Parliament
Ameera Osmanagic
30 October 2024, MVT 18:59

Drivers Association has submitted a plea to the Parliament requesting to stop the Transport Ministry's decision to hand over taxi services between Malé and Hulhumalé to a state-owned-company.

The association sent the letter to the parliament last July, expressing concerns after the Transport Ministry's 'Malé Fahi' programme included the establishment of a government owned taxi line. Although Transport Minister Mohamed Ameen was requested by the parliament to respond in writing, he preferred to attend and answer in person.

Speaking at the Parliament's Economic Committee meeting yesterday, the minister justified the government's need to enter the taxi business and make laws and regulations to take over control. If it is not done, Malé would drown in vehicles, he said, adding that road safety is already lost in the city.

He said that the taxi line's issue comes when drivers charge more than the set prices. He also expressed concern over taxi drivers only taking trips to areas they prefer.

"The issue of taxi lines is that there are set prices by the Ministry. The truth of the matter is when a taxi is required for a certain destination, taxis aren't available. But if it's from Malé to Hulhumalé or Malé to Phase 2, then [a taxi] is instantly available. This is happening from rides and taxi lines as well," Minister explained with displeasure.

Minister Ameen also said that taxi lines' services have also deteriorated significantly, adding that taxi businesses operate whenever drivers want to start and stop for the day. He also pointed out that the safety of drivers and passengers are also not ensured during the trips.

Because of this, Maldives needs a system like "Uber", he said, detailing that the country needs a system where everything related to providing 24 hours [taxi] services are managed by a computer system.

"... within a computer system where drivers are unable to have control [over the system] and drivers have to go [to a location] when they system asks. And financial transactions also don't have to be done. Meaning the driver wouldn't be able to say, that a certain amount would be charged. Control needs to be taken over [drivers] taking on one passenger and then taking on another three passengers [on the same ride]," he explained the situation in detail.

So, the government needs to take control over taxi services, much like the bus services, he said.

The committee summoned the Drivers Association today, regarding the matter.

The association's member Ibrahim Niyaz said that Minister Ameen had met with the drivers earlier, and assured that such a decision would not be made without their consultation.

Highlighting that the matter is directly related to their livelihood, Niyaz asked to reverse the decision.

The association's members also highlighted that the government's involvement in taxis would incur additional costs at a time when the country's economic situation is of concern.

Drivers' complaints

The primary concern of drivers is that the government is establishing a taxi line without any consultation with the drivers, after the Minister met with them on 4th August and assured them that the government has no intentions of entering the line of business.

"[Minister] Ameen's information was that it wouldn't happen this way. That the taxi fleet is a big misunderstanding. And they denied it. [He] said that it was something referred to a in a paper within the Malé Fahi programme," Hassan Zareer, a member of the Driver's Association said.

Zareer, expressing his concern of the government's decision, added that it would negatively impact drivers, taxi centres and the families concerned as well.

"The Maldivian government's decision would have economic and social impacts on the lives of the people involved in the Maldivian government's taxi service," he said.

Zareer also said that the decision would negatively impact the investments of existing taxi companies and may result in a loss for them.

According to Zareer, private taxi services should be provided to improve the quality of the taxi business. He also criticised the government's plan to give MVR 100 per hour for taxi drivers, labelling Minister Ameen's previous statement that there are 11,000 taxis as a lie as well.

In response to questions by members of the committee, Zareer explained that they are unable to provide taxi services to certain areas due to narrow roads and vehicles being parked on both sides of such roads. He claimed that the Transport Ministry paid no heed to their request to remove such vehicles.

"Has the Ministry taken any action so far against bad drivers nearly as much as [taxi] centres do? No," Zareer added.

While the matter has escalated to the Parliament, local taxi drivers have been expressing their dissatisfaction with the government's decision for months. In August this year, they organised a protest in Hulhumalé, in front of the Umar Zahir building, where Transport Ministry operates out of, to voice out their concerns. Minister Ameen met with them there, and promised to come up with a solution for their concerns, which led protestors to disperse from the area.

Features of the Goverment's Taxi Line:

- Foreigners cannot be taxi drivers

- 25 percent of taxis to be electric vehicles

- Drivers have to wear a uniform

- Minimum hourly fee for taxis to be MVR 100

- Government to fund maintenance and petrol fees of the vehicle

- Weekly salaries to be paid

- 24 hour taxi line

The Minister said that 50 percent of the employees of the state-owned taxi line would be permanent employees, while the remaining 50 percent would be reserved for part time drivers.

He also said that this would not affect the existing taxi service providers.

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