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April 13, 2015

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‘Special cars’ unsure where road is leading

MORE than 70 drivers have faced fines of up to 10,000 yuan (US$1,600) and had their licenses suspended for three months this year in a clampdown on zhuanche or “special cars” — motorists earning extra cash offering unlicensed taxi services booked through third-party mobile apps.

The city transport authority frequently conducts spot checks, especially in downtown areas like Lujiazui, the Bund, People’s Square and Jing’an Temple.

Booking rides via third-party mobile apps operated by the likes of Uber, Didi and Kuaidi has become a popular urban transport option, even if the system operates in what is still a gray area that has authorities frowning. Small wonder that an increasing number of private motorists are jumping at the chance to earn some sideline cash with zhuanche, private cars for hire.

The Shanghai Traffic Commission told Shanghai Daily that private cars unlicensed to operate a business are breaking the law when they pick up fares.

In January, China’s Ministry of Transport banned private cars from taking passengers for profit.

Cars require a business license, and app companies have been told to use car and driver rental companies “out of safety concerns.” Be that as it may, zhuanche has flourished.

Kuaidi and Didi declined to say how many drivers they currently have in zhuanche services. Uber drivers said about 2,000 new part-time drivers join the service every week on average.

There are an estimated 50,000 mainstream, officially sanctioned taxis in Shanghai, but at peak times there is often a shortage.

The convenience offered by zhuanche comes at a price. Kuaidi’s economy cars have a flag rate of 14 yuan, and charges of 2.9 yuan per kilometer and 0.5 yuan per minute. That compares with regular taxi fares of 2.4 yuan per kilometer.

There are no official figures of how many zhuanche drivers there are in the city. Shanghai Daily talked to several.

ZHANG Jianwen (driver for Didi and Uber)

Age: 32
Car model: Lexus

ZHANG works for a home appliances design company. On weekends and some mornings before going to work, he is a zhuanche driver. He said he earns about 10,000 yuan a month driving for both Didi and Uber.

According to Zhang, there was almost no threshold to becoming an Uber driver. But to drive for Didi, he had to register with a local car rental company that acts as a go-between for him and Didi. Such companies can be easily found online.

Zhang said he leaves home at 5am every other day during the week.

“I can do two or three fares before 7am, and some of them are to airports and railway stations, which allows me to earn several hundred yuan together with tips,” Zhang said.

“A friend made 15,000 yuan during Spring Festival,” Zhang said.

Zhang admits he has thought about giving up his day job and becoming a full-time driver, but he worries about the risks of such a move in a realm that still remains a bit legally murky.

“If the day comes when Shanghai traffic authorities ban zhuanche services, we drivers will all be out of a job,” he said.

LI Wei (driver for Kuaidi)
Age: 35
Car model: Roewe 550

LI has taken the plunge. He now works full-time as a zhuanche driver. He used to be a driver for Shanghai Tobacco Group Co but left when he discovered he could earn much more picking-up fares.

He drives from 8am to midnight, six days a week, earning over 12,000 yuan every month. At his old job, he was earning 8,000 yuan a month.

Though he’s been driving in Shanghai for more than five years, Li said he still relies heavily on GPS to navigate.

“Now I have to go almost everywhere. Shanghai has so many small streets and lanes. It will take time to get to know most of them.”

Li said he pays Kuaidi 7,500 yuan a month for use of one of its vehicles. It doesn’t cover his social insurance.

He said he spends 150 yuan on fuel every day and he is responsible for any car repairs and maintenance. Kuaidi takes 10 percent of his earnings. Tips can be twice as high as fares during peak hours.

“If the authority really clamps down on this kind of service one day, my goose is cooked,” he said.”

FU Jinjin (driver for Uber)
Age: 24
Car model: Buick

FU Jinjin has a job in a local advertising agency and became a Uber driver at the end of last year.

She said that she isn’t worried about a crackdown on zhuanche as she has her regular job.

Fu said she carries 15 to 20 passengers in an average week, earning about 1,500 yuan a month after paying for gasoline and parking fees.

“The money doesn’t really matter that much to me,” she said.

“I rather like the idea of a platform that offers car-pooling services and contributes in some small way to improving transportation in the downtown area,” Fu added.




 

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