Pricing: The government does not understand the requirement to determine the floor price but wants to avoid interference – Loke

The government says it is reviewing requests that have been made to set a floor for ride-hailing services, but is looking to maintain its commitment to its current policy of non-interference in prices. Star report.

According to Transport Secretary Anthony Loke, while the Department understands the requirements of ride-hailing drivers, it is also of the view that the current dynamic pricing system should be left in place. “Drivers want this (price floor) in place so that each of their rides will have value, but if this is done, consumers will face higher prices,” he said.

However, he said drivers are not allowed to operate at a loss and their welfare must also be considered. “This is something that we need to look at and discussions are still ongoing,” he said.

Loke said this in response to reporters’ questions about the call by Grab Malaysia (GDMA) vice president of Grab Drivers Association (GDMA) Mohd Azril Ahmad to hold discussions between the gig industry. and government. Mohd Azril has asked for a floor price for services provided by ride-hailing and delivery drivers.

In February, the association spoke out not happy about the latest exchange rate revision implemented by Grab, which reduces the distance fee from 70 sen to 25 sen per kilometer. The company says this has been balanced out by increasing the time fee from 20 sen to 43 sen per minute and that its driver partners will benefit from the new rates, as they will be paid more during peak hours. points even if the distance is shorter due to traffic.

However, Grab drivers are said to be unhappy with the adjustment, claiming it will reduce earnings per kilometer by 65%. They added that congestion is infrequent and mainly occurs only in KL and Selangor.