Grab is diving deeper into the Singapore transport scene as it officially launches its GrabCab service. On 2 April 2024, the Land Transport Authority (LTA) awarded GrabCab a Street-Hail Service Operator Licence, marking its entry as the sixth taxi operator in the Lion City. With this approval, Grab aims to address the growing demand for taxi services and enhance passenger convenience.
New Taxi Operator, More Choices
GrabCab, a subsidiary of Grab Rentals and sister company to GrabCar, is set to begin operations on 9 April 2024. As Singapore’s latest taxi operator, it joins the ranks of Comfort, CityCab, Prime, Strides Premier, and Trans-Cab. This expansion is expected to provide numerous benefits:
- Increased supply of taxis for commuters, particularly during peak hours.
- Improved transport availability in areas typically served only by taxis.
- Enhanced options for drivers seeking non-exclusive partnership arrangements.
Fleet Requirements and Eco-Friendly Initiatives
Under the terms of its licence, GrabCab must build up its fleet to meet a minimum of 800 taxis within a three-year period. LTA stipulates that all taxis must be easily identifiable, carrying distinctive livery and prominent rooftop signs. Additionally, all vehicles must pass LTA’s stringent safety standards.
In a bid to promote sustainability, Grab also announced the introduction of a 100% green fleet, consisting of low- and zero-emission hybrid and electric vehicles. This initiative reflects Grab’s commitment to environmentally friendly transport solutions and aligns with Singapore’s wider green growth agenda.
Support for Aspiring Drivers
GrabCab is not just focusing on its fleet—it’s also looking out for aspiring drivers. The company plans to support those wishing to enter the sector by covering the costs of the Taxi Driver’s Vocational Licence course as well as the National Taxi Association membership fees for new members. This move aims to encourage participation in a competitive taxi market.
Grab has previously sought to acquire existing taxi services, such as in its 2017 attempt to buy SMRT, which fell through. More recently, its proposed acquisition of Trans-Cab was halted in 2024 by the Competition and Consumer Commission of Singapore, citing concerns over reduced competition in the ride-hailing market. GrabCab’s launch comes amid these regulatory challenges but represents a renewed commitment to enrich Singapore’s public transport landscape.