COVID-19: Government reserves an additional S $ 112 million to help taxi drivers and operators, private rental vehicles



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SINGAPORE: The Government will allocate 112 million Singaporean dollars to expand the Point-to-Point (P2P) Support Package (PPSP), which aims to support drivers and operators of taxis and private rental cars amid the pandemic of COVID-19.

In a press release on Tuesday (September 15), the Land Transportation Authority (LTA) said that although the resumption of some activities in Phase 2 has increased the demand for taxis and private rental cars, the number of passengers continues being significantly less than 70 percent and trips are shorter, resulting in lower rates per trip.

Point-to-point passenger numbers are unlikely to return to pre-coronavirus levels anytime soon, LTA said, and many employees are expected to continue their work-from-home arrangements, tourist activities to remain quiet and bad economic conditions.

“It is understandable that many taxis and private rental vehicle drivers are concerned about their livelihood,” LTA said.

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Of the S $ 112 million, S $ 106 million will go towards a six-month extension of the Special Aid Fund until March next year. The fund, which started in February, helps active taxi and private rental car drivers defray business costs by providing monthly payments of S $ 300 per vehicle per month.

Drivers currently receiving payments from the Special Assistance Fund will continue to receive payments for the extended period.

More than 40,000 point-to-point drivers are expected to qualify for the extended assistance payments. LTA said taxi operators have also pledged to continue to provide equivalent rental refunds of an additional S $ 29 million to their contractors.

“This package of relief measures will further help support our drivers and operators during this difficult period and will mitigate some of their concerns and challenges,” said Minister of State for the Ministry of Transport, Dr. Amy Khor.

DELIVERIES TO SUPPLEMENT THE INCOME OF DRIVERS

Taxi drivers and private rental car drivers will continue to be allowed to provide delivery services until September next year, the LTA said.

The temporary liberalization of point-to-point regulations to allow the use of private rental cars and taxis for delivery services was first announced in March. Since then, it has provided drivers with an additional source of income while helping to meet the increased demand for delivery services, LTA said.

Taxi drivers and private rental cars have also shared that this has helped them and have called for the plan to be continued, LTA added.

In a statement Tuesday, Grab said he appreciated the government’s extended support and was “pleased” that his driver-partners were able to continue to take on delivery jobs during these difficult times.

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“Since the ‘circuit breaker’ period, we have worked closely with the authorities to allow our driver-partners to deliver food, packages and groceries. They have provided and continue to provide additional income opportunities for them. Additionally, we have also launched programs training and a career support portal to help improve their employability if they wish to seek other opportunities to further supplement their income.

“We will continue to monitor the situation and stand ready to adjust our services and extend support whenever possible,” a Grab spokesperson said.

REVISED CRITERIA FOR VOCATIONAL PRIVATE RENTAL CAR DRIVER LICENSE

To ensure that the peer-to-peer sector continues to be sustainable, LTA said it has conducted several rounds of consultations with stakeholders and industry associations to review the eligibility criteria for the private rental car driver vocational license.

Given the growing similarities between taxi and private car rental services, the eligibility criteria for both forms of professional licenses must be aligned, the LTA added.

All new applicants must be Singaporean citizens who are at least 30 years old at the time of application, with a minimum of one year of driving experience.

Vocational license applications for drivers of private rental vehicles received before 5:30 p.m. Tuesday’s will continue to be processed based on the above eligibility criteria. Existing licensees who are under the age of 30 or are permanent residents of Singapore will not be affected by this new rule.

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“The proportion of private rental car drivers under 30 is small and private rental car operators have shared that most of them drive part-time. They will be able to continue to provide private car rental services as long as they renew their vocational private rental car driver licenses before they expire, ”LTA said.

The National Association for Private Rental Vehicles and the National Taxi Association said the older age requirement will not only level the playing field for taxi drivers who must meet a minimum age of 30, but will also encourage young drivers. to get outside work experience.

Young drivers should consider obtaining employment through plans such as SGUnited’s internship programs or job growth incentive placement programs, they said in a joint press release.

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Both associations welcomed the extension of the support package and the liberalization of point-to-point regulations, and said they would also continue to engage their drivers and help them improve their skills.

The PPSP was first launched in February, with S $ 77 million in aid for the point-to-point transport sector and its drivers. The second tranche of the support package was announced in March, for an additional S $ 120 million.

Beyond the relief measures provided by the Government, point-to-point operators have also extended various forms of support to their drivers during this period. This includes commission refunds and rental exemptions or discounts, including full rental exemptions by some operators during the breaker period.

LTA said it recognizes the efforts of operators in this area and strongly encourages them to continue to pass on the savings from the government’s additional aid measures.

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