IBRAHIM BADAWOOD
There are no precise statistics on the number of taxis in the Kingdom, but everyone agrees the country’s taxi sector is in total chaos.
Some reports indicate that the number of taxis exceeds 200,000, but others say only 50,000 of taxis are licensed, with 35,000 of them driven by Saudis. There are also about 1,300 licenses for public taxis, and recently 11 licenses were issued for guiding vehicles, like Uber and Careem.
All these licenses are for different kinds of vehicles that will ply our streets and roads, for drivers with various levels of competence, all amid a system that is unclear and unspecific.
There have been many attempts to organize this market, but till now none have succeeded. Late last year, sources at the Ministry of Transport confirmed that a ban would be imposed on taxis at the beginning of 2016.
The sources added that this would apply to big companies, then implemented gradually on medium and small companies. Special mechanisms and systems will be drawn up for vehicles owned by individuals.
However, this system has not been activated due to many obstacles that it faces. Foremost among these is that a large number of Saudis own taxis and object to the fees levied in return for operating the system.
In an attempt to solve the inherent problems in this system, it was announced recently that the ministries of transport, labor and the interior had begun procedures for setting up a company to organize the work of taxi operating companies. Among the goals of these companies is to provide jobs in the sector to Saudis, specify a minimum monthly salary of SR5,000 and provide a work environment suitable for them.
This was followed by the Ministry of Transport’s announcement that it would stop issuing licenses for operating public taxis in Riyadh and Jeddah due to the noticeable increase in their numbers in the two cities. The decision also included stopping adding new cars to the existing fleet of licensed companies in Riyadh and Jeddah, except for replacing old cars. It also included the re-evaluation of public taxi services in Riyadh and Jeddah in light of the need for this activity.
Whoever has visited these two cities over the last decade or so will know well that the system for small taxis requires reconsideration. There is chaos right from the gates of airports, at the headquarters of government departments, and on main roads. They are the main cause for many of the accidents.
Furthermore, many of the taxis do not switch on their taxi meters. They are little more than decorations. Some of them are not clean, while others are operated by three drivers for eight hours each. This is aside from the competition by private car owners.
Stopping the issuance of licenses for operating taxis in Riyadh and Jeddah is a good step in order to stop more cars from entering the market, but it is not enough. It is important to reorganize and restructure this activity totally and take advantage of the experience of companies like Uber and Careem that have been well received by the public for the services they provide.
