Transport regulators order GrabBike service halted

The Land Transport Department has ordered GrabBike to suspend services until it complies with rules. (Grab Thailand photo)

The Department of Land Transport has ordered GrabTaxi Holdings Pte to halt its GrabBike service in Thailand until it complies with local regulations and vowed to fine and arrest drivers who violate the ban.

DLT deputy director-general Nunthapong Cherdchoo said his department informed GrabTaxi of the regulations that its services were violating regulations. The department took particular issue with using private motorcycles to carry passengers, its payment method and fares charged which, he said, did not comply with published rates.

He said the department is not against applying technology to public transit services, but they must comply with current laws. The DLT asked GrabTaxi to suspend its GrabBike service -- launched in August in Bangkok -- until changes were made to meet regulations, Mr Nunthapong said.

He added that soldiers, police and Bangkok authorities would arrest violating drivers and fine them at the highest rates if caught.

Service providers would be fined 2,000 baht for using private motorcycles to carry passengers, 1,000 baht failing to wear taxi motorcyclists' vests and 1,000 baht for failing to present a public-transport driver's licence. Such motorcyclists would also have their driving licences suspended and possibly revoked, Mr Nunthapong said.

He warned that such services were jeopardizing security, safety and local transport systems because they created unfair competition, their motorcycles were not covered with accident insurance for passengers and drivers' criminal records were not checked by the government.

GrabBike is one of two motorbike taxi-hailing services operating in Bangkok. Uber Technologies of the US last month launched its UberMoto service, which has not yet drawn the ire of transport regulators.