Mobile e-hailing cab service apps like Didi Taxi are gaining popularity in China's big cities as they provide cabbies with business and help passengers find transportation. 

A few clicks on a smartphone running one of these free apps can ease commuters' frustration caused by the difficulty of getting a cab during rush hours. When a passenger selects "call a cab now" on the app, cabbies in the area who have downloaded the same app will receive the call and can quickly go to pick up the waiting passenger. Those using the app to hail cabs can also offer tips, usually ranging from 5 to 30 yuan ($0.81 to $4.9), to get a cab more quickly. 

The app's incredible popularity reflects the difficulties encountered by many passengers taking taxis. According to the Blue Book of Public Service, released by Chinese Academy of Social Sciences in 2012, about 53 percent of passengers in major cities in China had to wait more than 10 minutes before getting a taxi, while some taxi drivers spent up to 40 percent of their work time without a passenger.     

However, the app was recently suspended by authorities in some cities. On May 22, the Transport Commission of Shenzhen City required cab drivers to stop using mobile taxi apps, claiming the apps would affect the authority's supervision. Later, the transport authorities in Beijing and Wuhan also banned use of the software.

The move has stirred heated debate among the public. Supporters agree with the transport authorities and emphasize the potential safety hazards of using such apps. However, others maintain that the mobile apps improve the efficiency of cab service, benefiting both cab drivers and passengers. They believe the government should not meddle in business that is supported by the market.

Con

Ni Jinjie

Finance Writer 

The emergence of e-hailing apps over the past year has helped passengers find transportation more easily. Combining new technology with the market to ease the difficulties in getting a cab is a positive innovation. It may be necessary to regulate new apps, but outright banning them is not right, and will ultimately harm consumers.

Premier Li Keqiang noted that transforming how the government functions requires straightening out relations between the government and society, as well as those between the government and the market. The government should not meddle too much in market affairs and should allow the market and society to manage certain parts of the economy.

The appearance of e-hailing apps shows that the market can play a role in fostering technological innovation. The government should trust that the market will ensure the sound development of such apps.  

I am also against the government launching similar apps to compete with private companies, as this would result in unfair competition and also waste resources.

The transport authorities' banning tips for faster cab service is not the proper way to regulate the use of these apps. During rush hours, those who have emergencies need to get prompt cab service and should be able to get it by offering tips. This arrangement is a win-win deal for both passengers and cabbies. If demanding tips goes against market interests, the market will automatically wipe out such behavior. There is no need for the government to perform the duties of market. CA

Pro

Yu Li

Official with the Transport Commission of Shenzhen City

The commission suspended the use of mobile taxi apps for three reasons.

First, passengers are required to give tips when using the app to call a cab. Although this may improve the efficiency of cab service, it violates the regulation stating that cab drivers and passengers should not bargain over prices.

Second, it is impossible to check the identities of cabbies who download these apps. Sometimes passengers may end up calling a fake cab offering illegal service by using these apps.

Third, to respond a passenger's call instantly, drivers have to use a mobile phone while driving, which violates traffic regulations and may lead to traffic accidents.

However, suspending these apps does not mean that their use is forbidden. The transport authority encourages and welcomes the use of e-hailing apps that conform to required standards. CA