Uber app (Source: VNA) Hanoi (VNA) - Transport regulations will be reviewed toensure a fair business environment for firms, Deputy Minister of Transport Le Dinh Tho said at a recent conference to review a two-year pilotproject of applying technology in passenger transport, including car andmotorbike hailing services, such as Uber and Grab.
Tho said rapid technology development was posing challengesto State management agencies due to confusion in defining whether Uber and Grabwere technology platforms connecting passengers with drivers or transportationcompanies.
Many other countries are facing similar battles.
Tho admitted that many rules were now no longer appropriate,creating an unfair environment between traditional taxi firms and new ones likeUber and Grab.
“It is necessary to create a fair and transparent environmentfor every business,” Tho said, adding that the existing regulations would bereviewed to create business equality.
He said that if necessary, “technology” taxi firms would berequired to register legal entities in Vietnam.
The Ministry of Transport also urged traditional taxi firmsto promote the application of technology and enhance their services to avoidbeing left lagging behind.
The Ministry of Finance proposed that the operation of Uberand Grab in Vietnam be clarified to set a base for how they were regulated.
Hoang Thi Ha Giang, Deputy Director of the Tax PolicyDepartment, said clear regulations were needed to efficiently collect taxesfrom Uber and Grab, which was stil a headache.
Traditional taxi firms, who have fallen into difficultiessince the rapid expansion of Uber and Grab in Việt Nam in recent years, calledfor equality in management.
Traditional taxi firms said that they were under tighterregulations than Uber and Grab, such as bans on using several streets, payingmore tax - and higher operation costs.
Truong Dinh Quy, deputy director of taxi company Vinasun,said that Uber and Grab should be regarded as a transportation company ratherthan a technology platform.
Sharing the same viewpoint, Vu Van Vien, Director of the HanoiDepartment of Transport, said that banning “technology” taxi companies was notan appropriate solution but agreed regulating them could work.
Do Quoc Binh, Chairman of the Hanoi Taxi Association, said thatthe Uber and Grab boom put significant pressure on the traffic system.
Binh said that tax collections for the two types of businesswere unfair. He urged the pilot programme to be halted.
A report by the Ministry of Transport showed that the pilotprograme is now implemented in four provinces and cities, namely Hanoi, QuangNinh, Khanh Hoa and HCM City. This involved 866 transport companies with atotal of more than 36,800 vehicles.
Ten companies provided technology platforms to implementtransportation e-contracts, including Uber and Grab.-VNA
Tho said rapid technology development was posing challengesto State management agencies due to confusion in defining whether Uber and Grabwere technology platforms connecting passengers with drivers or transportationcompanies.
Many other countries are facing similar battles.
Tho admitted that many rules were now no longer appropriate,creating an unfair environment between traditional taxi firms and new ones likeUber and Grab.
“It is necessary to create a fair and transparent environmentfor every business,” Tho said, adding that the existing regulations would bereviewed to create business equality.
He said that if necessary, “technology” taxi firms would berequired to register legal entities in Vietnam.
The Ministry of Transport also urged traditional taxi firmsto promote the application of technology and enhance their services to avoidbeing left lagging behind.
The Ministry of Finance proposed that the operation of Uberand Grab in Vietnam be clarified to set a base for how they were regulated.
Hoang Thi Ha Giang, Deputy Director of the Tax PolicyDepartment, said clear regulations were needed to efficiently collect taxesfrom Uber and Grab, which was stil a headache.
Traditional taxi firms, who have fallen into difficultiessince the rapid expansion of Uber and Grab in Việt Nam in recent years, calledfor equality in management.
Traditional taxi firms said that they were under tighterregulations than Uber and Grab, such as bans on using several streets, payingmore tax - and higher operation costs.
Truong Dinh Quy, deputy director of taxi company Vinasun,said that Uber and Grab should be regarded as a transportation company ratherthan a technology platform.
Sharing the same viewpoint, Vu Van Vien, Director of the HanoiDepartment of Transport, said that banning “technology” taxi companies was notan appropriate solution but agreed regulating them could work.
Do Quoc Binh, Chairman of the Hanoi Taxi Association, said thatthe Uber and Grab boom put significant pressure on the traffic system.
Binh said that tax collections for the two types of businesswere unfair. He urged the pilot programme to be halted.
A report by the Ministry of Transport showed that the pilotprograme is now implemented in four provinces and cities, namely Hanoi, QuangNinh, Khanh Hoa and HCM City. This involved 866 transport companies with atotal of more than 36,800 vehicles.
Ten companies provided technology platforms to implementtransportation e-contracts, including Uber and Grab.-VNA
VNA
