GrabCab becomes Singapore's 6th taxi operator, plans to launch '100% green fleet'

Prefer flagging down a taxi over booking one on ride-hailing apps?

The pool of taxis available for street-hails is set to increase as "super app" Grab has been awarded a Street-hail Service Operator Licence by the Land Transport Authority (LTA).

GrabCab, a subsidiary of Grab Rentals Pte Ltd and sister company of GrabCar Pte Ltd, will become Singapore's sixth taxi operator, said LTA in a media release on Wednesday (April 2).

The five existing taxi operators are Comfort, CityCab, Prime, Strides Premier and Trans-Cab.

GrabCab's licence will begin on April 9 and is valid for 10 years. There will be a three-year grace period for the operator to progressively expand its vehicle fleet to meet the minimum requirement of 800 taxis.

Under the licence terms, Grab must ensure that its taxis are easily identifiable, including having a prominent roof-top sign and a distinctive livery scheme.

Vehicle models must be LTA-approved and must meet requirements such as having sufficient boot space.

Its street-hail services must also follow the same taxi fare structure components as other street-hail operators, and its fare must be prominently displayed, said LTA.

A Grab spokesperson said that GrabCab will complement its private-hire cars through addressing unmet consumer demand and improving ride availability, especially during "peak hours, late nights and in areas only accessible by taxis".

Grab added that it will sponsor the Taxi Driver's Vocational Licence course fees for aspiring cabbies and six months of the National Taxi Association membership fees for new members who join GrabCab.

It also plans to launch a "100 per cent green GrabCab fleet" consisting of low- and zero-emission hybrid and electric vehicles.

"Grab remains committed to maintaining an open and fair platform for all PHV and taxi drivers," said the spokesperson.

"We will continue to treat all drivers fairly, match them with optimal bookings, and empower them to maximise their productivity on our platform."

Grab had reportedly been trying to buy a local cab operator, with an unsuccessful deal with SMRT in 2017.

It announced that it was taking over Trans-Cab in 2023, but the deal was called off in 2024 after the Competition and Consumer Commission of Singapore said the proposed acquisition will weaken rival ride-hailing platforms and could lead to higher prices for passengers and drivers.

lim.kewei@asiaone.com

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