Hong Kong opens licence applications for ride-hailing platforms

Hong Kong authorities have opened licence applications for ride-hailing platforms under a new regulatory scheme, saying operators must have a proven track record of providing legal services in cities with a population of more than 7.5 million, while handling over 100,000 daily orders in at least two cities.

Announcing the licensing terms on Friday, the Transport Department said the eligibility criteria also included using technology such as facial recognition for due diligence checks to ensure vehicles were driven by their registered owners with valid permits.

“By introducing the regulatory regime for ride-hailing services, we aim to require platforms, vehicles and drivers providing these services to obtain relevant licences and permits, providing members of the public with safer and compliant choices for point-to-point transport,” a department spokesman said.

“To ensure that ride-hailing platforms possess the operational capability to provide platform services, we will impose specific requirements regarding booking management technology, experience in operating ride-hailing platform services, financial proof and capital investment.”

Under the new regulations, applicants must be Hong Kong-registered companies with permanent executive staff and an office in the city.

Interested operators must submit audited financial reports for the past three years. They must have capital of at least HK$50 million (US$6.4 million), including at least HK$30 million in bank deposits and a HK$30 million credit line.