Recent Movement towards Legalization of Mobile Applications for Taxi or Ride-hailing Services

Background
On 21 December 2020, the Department of Transport issued the Draft Ministerial Regulation on Alternative Service Passenger Vehicles (not exceeding seven (7) seats) for public hearing purposes (“Draft Regulation”). Such Draft Regulation aim to regulate mobile applications for taxi or ride-hailing services and were long-awaited due to the illegality of mobile applications for Alternative Service Passenger Vehicles (defined below) in Thailand. As background, Alternative Service Passenger Vehicles have been operating in Thailand for many years now and generally, they can be seen as unregulated and illegal. The Draft Regulation aims to increase the regulations on these Alternative Service Passenger Vehicles and bring them into the mainstream registration system similar to the taxi licensing system. Also, the Department of Transport will have the power to approve mobile applications that meet qualifications and legalize transport platform services. Such Draft Regulation may signal the beginning of the legalization of Alternative Service Passenger Vehicles. Please note that this Regulation is applicable to only passenger services and not freight services (e.g., logistics).

The content of the Draft Regulation can be summarized as follows:

Download Newsletter PDF