Street-hailing of motorcycles continues, poses significant risks
Corporates
Bangladesh is on its way to becoming a 'Smart Nation', with a vision that aims to empower its citizens with a digital-first mindset and enhance their lifestyle through the use of technology and innovation. The transportation industry has been an integral part of this vision, as it plays a vital role in ensuring the mobility of people, goods and services.
As the largest mobility platform in the world, Uber's priority is to provide safer, cleaner and more efficient transportation options to people. In our seven years of operations in Bangladesh, we have brought tech-enabled multimodal transportation solutions, including two wheelers and four wheelers, to meet the mobility needs of our customers.
Over the last few years, motorbikes or 'bike taxis' have become one of the most popular modes of transportation in Bangladesh due to their affordability and ability to maneuver through traffic congestion. In response to this trend, we introduced bike taxis in 2017. They have since gained significant traction with a large number of people using them day after day for their everyday needs.
However, street-hailing of motorcycles continues unabated and poses significant safety risks to passengers as these rides cannot be tracked by digital platforms. Ridehailing apps have a record of the driver's identification, license and registration information, which is not available while hailing a motorcycle on the street. Unlicensed and unregistered drivers can increase the risks of passengers getting into accidents or experiencing other safety issues. In addition, the passenger may not have a recourse with a driver, in case of a dispute with the ride.
These offline rides also result in the loss of a significant amount of revenue for the government, in the form of VAT. Value Added Tax (VAT) is a crucial tax regime that is aimed at streamlining the indirect taxation system in Bangladesh. However, the street-hailed trips taken by drivers continue to violate VAT principles and lead to VAT evasion. To address these concerns, it is crucial that the government takes steps to prohibit the street-hailing of motorcycles as it jeopardizes the safety and security of passengers while jeopardising state revenue.
Regulating the motorcycle transportation industry in Bangladesh is crucial to achieving a safer, more efficient transportation system. Digital platforms like ours provide a 24-hour safety line for passengers to report any incidents of misconduct, dispute or unusual driver behavior. We also enforce licensing and registration requirements to ensure that all drivers are licensed and registered with the government, making it easier to track in case of a mishap.
Ride-sharing apps are bringing the 'Smart Bangladesh' vision to life, which aims to empower Bangladeshi citizens with a digital-first mindset and enhance their lifestyle through the use of technology and innovation. Every ride on the Uber platform is tracked, and every driver is licensed and registered. Our commitment to safety is evident from the fact that every driver on our platform is vetted to ensure they meet high standards for safety, ensuring that only qualified and competent drivers are on the platform.
The solution of leading a safer and smarter lifestyle requires steps from the government to enhance the safety of passengers and reduce incidence of criminal activities that may occur during unregulated and unmonitored rides.
Armanur Rahman is the head of Uber Bangladesh and East India.
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