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Recently, news has surfaced about drivers offering illegal ride-hailing services between Singapore and Malaysia, prompting stricter enforcement from authorities. Under the current Cross-Border Taxi Scheme, only licensed taxis can ferry passengers between the two countries, with strict rules on pick-up and drop-off points. Singapore taxis can only drop passengers at Larkin Sentral in Johor, while Malaysian taxis can only drop passengers at Ban San Street Terminal near Bugis. Despite having a quota of up to 200 licensed taxis per country, demand for the scheme has fallen sharply since the pandemic, leaving many drivers waiting hours for passengers.
Over the past month, Singapore’s Land Transport Authority (LTA) has stepped up operations against illegal operators. On 11 July, 22 drivers were caught, some at Changi Airport and Gardens by the Bay, followed by 10 Malaysian-registered vehicles on 18 July, and 19 more drivers intercepted at land checkpoints on 5 August. Some drivers claimed they were simply carpooling, but authorities pointed out that these services operate without proper licences or insurance, posing safety risks and undercutting legitimate transport providers.
One major reason travellers opt for illegal services is flexibility. Licensed cross-border taxis can only operate to fixed points, requiring passengers to switch vehicles for further travel. In contrast, illegal operators often offer all-day chauffeured services between Singapore and multiple Malaysian destinations for around $300, which appeals to tourists who want seamless transport without changing cars. Many such services appear professional online, making it hard for customers to tell they’re unlicensed. However, they endanger passengers and impact the earnings of licensed taxi and private-hire drivers.
Following the enforcement blitz, local operators have reported an increase in earnings, with some noting a 30% boost. A Johor politician has since called for legalising ride-hailing between the two countries, and discussions have been held between Singapore and Johor officials to explore cross-border ride-hailing options. Singapore is also considering improvements to the existing scheme, such as more boarding/alighting points, varied vehicle types, and a dedicated booking app.
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