This suggestion came from Premium Big Blue Taxi founder Shamsubahrin Ismail.

He said Uber and Grab must be placed under the executive limousine category, like what was practised in Singapore.

“The base fare for budget taxis is RM3 and for executive taxis RM6.

“Uber must be placed in the executive limousine category with higher rates because the fares for budget taxis are the lowest and fares cannot get lower than that.”

Shamsubahrin told FMT that if the government continued to let Uber and Grab operate freely, it would destroy the taxi industry in the country.

“If Uber and Grab are given the green light to operate with low fares, it will be akin to putting sand in the rice bowls of budget taxis in Malaysia, thus killing off the industry.”

He claimed metered budget taxis in Malaysia were the cheapest in the world.

Shamsubahrin called on the government to postpone the regulation of Uber and Grab until the taxi industry’s internal issues were resolved.

He said the government needed to improve enforcement in the taxi industry, such as improving driver discipline, stamping out the practice of not using meters and more.

He added it was the duty of the Land Public Transport Commission (SPAD) to take action against errant drivers.

Taxi drivers, fed up of the stiff competition from the Uber and Grab service, had taken part in a big protest which clogged up the Bukit Bintang area recently.

Prime Minister Najib Razak has given an assurance that a “just and fair” policy solution will be announced soon.

He said the issue was also faced by many other countries, with solutions still being sought and studied.

Taxis users complain of being fleeced by taxi drivers and refusal to take them to certain destinations. They say Uber and Grab taxis are clean, safe and easy to get over the handphone.