The Land Transport Authority recently announced that GrabCab has been granted a license to operate street-hail services, making it the sixth taxi operator in Singapore. This development provides drivers and commuters with more options and is expected to enhance taxi availability in the city-state.
As per the announcement, GrabCab will undergo a three-year grace period to expand its fleet gradually to meet the minimum requirement of 800 taxis. The company must ensure that its cabs are easily recognizable to street-hail customers, featuring a prominent rooftop sign and a distinctive livery scheme. The license, which commenced on April 9, will be valid for the next 10 years.
According to the LTA, GrabCab’s entry into the street-hail sector contributes to the current pool of taxi operators, including established names such as CityCab, CDG, Prime, Strides, and Trans-cab. The conditions of GrabCab’s licensing are aligned with industry standards, necessitating features like adequate boot space for wheelchair or luggage accommodation and adherence to a regulated taxi fare structure.
In response to the license approval, Grab appreciated the LTA and intended to introduce a green fleet comprising low-emission and electric vehicles. Additionally, the company plans to cover the course fees for a Taxi Driver’s Vocational License and National Taxi Association membership for new GrabCab drivers, showcasing its commitment to promoting sustainability and driver welfare.
“Grab is grateful to the Land Transport Authority for granting us a taxi license, which provides us the opportunity to introduce GrabCab, a taxi fleet to complement private hire cars on our platform,” a Grab spokesperson mentioned.
Despite concerns in the past regarding Grab’s market expansion efforts, the company remains committed to maintaining an open platform accessible to all taxi and private hire vehicle drivers. The failed acquisition attempt of Trans-cab in 2023 highlighted regulatory challenges, underscoring the importance of compliance and competition within the industry.
