HCM City is considering a proposal made by its transport department to pilot a public electric motorbike rental service in District 1. (Photo: VNA)

HCM City (VNA) – Ho Chi Minh City Department of Transport has proposed the municipal People’s Committee allow a pilot electric motorbike rental programme in District 1.

To use the service, developed by Vietnam Smart IOT Technology Co. Ltd, users have to download the Vimotor app on their smart phones.

The app will allow users to locate the closet vehicles in the district and unlock them using the QR code scanning function.

After using the e-motorbikes, users can park them at the designated area. A rental fee will be deducted automatically from their prepaid accounts.

The proposed fee is 3,000 VND (13 US cents) for the first 10 minutes. After that, users will be charged 1,500 VND per five minutes.

E-motorbikes will be placed near bus stops to provide convenience for users traveling by bus.

In the pilot period, IOT Company will offer 1,000 e-motorbikes at 74 spots in District 1.

Each spot will offer 12-20 vehicles free of charge in the first one to three months.

The company is seeking an exemption from the city of the pavement use fee for parking e-motorbikes in order to offer a cheaper rental rate for customers.

It looks to expand the service to the whole city in three years with 50,000 e-motorbikes.

The transport department said it has sought opinions of relevant departments and agencies on IOT’s rental service and got positive reactions.

However, the Department of Finance wants the company to provide more details on the investment costs of the project to work out an appropriate pavement fee charge and e-motorbike rental fee.

The city’s Department of Public Security also suggests a reduction of the number of e-motorbikes for rent as an increase to 50,000 vehicles will affect traffic order and safety.-VNA