Taiwan is moving to protect independent taxi drivers from exorbitant fees with a set of proposed regulations by the Ministry of Transportation and Communications. These changes come in response to grievances from drivers who claim they are burdened by steep affiliation fees required to secure taxi operating licenses. The ministry reported that in Taichung, some drivers have been charged affiliation fees as high as NT$350,000.
Under the proposed rules, taxi companies would be banned from imposing unauthorized fees that lack official approval or are not outlined in contracts. Moreover, they would be prohibited from compelling drivers to purchase vehicles from designated dealers or to secure loans and insurance through specific financial institutions. This initiative aims to ensure that any affiliation fee standards have administrative approval and are publicly accessible on company websites.
The new regulations also emphasize transparency and accountability, mandating both drivers and taxi companies to keep contracts, receipts, and other transaction documents available for inspection. Additionally, the proposal seeks to expedite the reassignment of unused taxi quotas, reducing the waiting period from three years to one year, with the possibility of a one-year extension.
The anticipated implementation of these rules is set for August. Companies that violate these regulations could face penalties, including fines up to NT$90,000, partial suspension of their operations, or, in more severe cases, the revocation of their operating licenses. This regulatory overhaul reflects a significant step towards fairer practices in Taiwan’s taxi industry.