In recent years, interprovincial shared rides have emerged as a new type of transportation business due to their convenience for passengers. With this model, passengers are picked up and dropped off at their request, eliminating the need to wait in line at bus stations or designated pickup points. Interprovincial shared ride represents a new trend that is hardly managed under traditional methods.

Cao Van Hiep, Deputy Chief Inspector of the Hanoi Department of Transport, speaks to The Hanoi Times about the topic.

Cao Van Hiep, Deputy Chief Inspector of the Hanoi Department of Transport. Photo: Ngoc Hai/The Hanoi Times

What is your opinion on shared rides regarding interprovincial transportation?

From the perspective of state management, the operation of shared vehicles for interprovincial transport is illegal. Many of these vehicles are not registered to the authorities, thus, they do not comply with existing regulations and pose a risk to public security and traffic safety. Operating without business registrations leads to tax evasion, resulting in losses for the State budget.

This type of transportation is becoming increasingly popular due to its convenience and flexibility. While we’re unable to determine whether it will endure and become a new trend, it is currently causing significant challenges for state management agencies and legitimate businesses

and presents numerous risks for the people.

What are the challenges and risks associated with this model?

For state management agencies, it is very difficult to monitor and regulate these shared vehicles. Most of these province-to-province vehicles are privately owned and unregistered, while operating based on passenger demand. These vehicles start and stop at any place, pick up and drop off passengers wherever they choose, leading to traffic disorders and safety issues.

In case of road accidents, there will be questions of the Government agencies' responsibility. If a shared ride encounters risks during a storm, causing injury or death, regulators can’t deny their responsibilities, even though the arrangements between the driver and passengers are unofficial and illegal. Additionally, unregulated shared rides are considered lawfully-unqualified passenger transport vehicles, which destabilize the market.

My Dinh Bus Station in Hanoi. Photo: The Hanoi Times

For legitimate transport businesses, interprovincial shared vehicles are suffocating both interprovincial buses and contract-based or taxi services. As they are unregistered, the owners often evade taxes and operate their businesses at lower costs. Thus, they may seize the market shares unfairly and push legible companies into difficult situations.

Due to a lack of understanding laws, many people are complacent about their own safety and rights. With interprovincial shared ride, the drivers are unqualified to operate commercial passenger vehicles, and their skills and service quality cannot be as good and standardized as those regulated by the authorities.

Moreover, if an accident occurs, without tickets or contracts, passengers have no legal grounds to demand compensation or support from the vehicle owner. As such, the benefits go to the drivers, but the risks are always borne by the passengers, and the drivers can easily shrug off their responsibilities.

Should shared vehicles be allowed to develop?

I think any services that benefit the public should be encouraged. However, if the model operates illegally and poses risks and consequences for society, it should be handled. The state management agencies need to conduct thorough and comprehensive research on interprovincial shared vehicles to determine the most appropriate course of action.

In my opinion, it is the public that decide the fate of interprovincial shared vehicles. The development of this kind of service depends on the awareness and attitude of the people. Passengers are the ones who bring revenue to these services. As long as there is demand, there will be supply. Therefore, shaping and regulating shared vehicles must begin by raising public awareness.

Passengers are picked up into a minibus in Hanoi. Photo: Pham Cong/The Hanoi Times

How exactly does the public influence the existence of shared vehicles?

The public needs to understand that using interprovincial shared vehicles means traveling in unregulated and unlawful vehicles. There are no legal safeguards in place to protect them from potential risks such as inflated fares, overcrowding, being left stranded, and suffering from accidents. The authorities have a responsibility to clearly communicate these risks to the public so they can make the best choices.

Secondly, without tickets and receipts, passengers are helping the vehicle owners evade taxes. In some developed countries, it is standard practice for customers to demand a receipt when making a purchase. If our people demand tickets and receipts every trip, shared vehicles would struggle to meet these requirements. Then passengers will switch to other legal services suppliers.

Thirdly, every citizen should raise their awareness of public security and safety. Going to bus stations, purchasing tickets, and signing transportation contracts are practical actions that help maintain the laws and limit illegible businesses, ensure transparency in consumer spending, and prevent tax evasion.

It is clear that the public plays a decisive role in the survival of interprovincial shared vehicles. At the same time, legitimate transport companies need to do their utmost to improve the quality of their products and services to earn customer trust.

What should state management agencies do to limit violations related to shared vehicles?

Relevant ministries and agencies must study and evaluate this new business model. These operating businesses must pay taxes and comply with legal regulations. We should quickly to establish the regulations for this model as soon as possible.

In the meantime, we need clear guidelines so that the law enforcement teams on the roads are able to deal with violations. Currently, enforcing regulations on interprovincial shared vehicles is extremely difficult due to a lack of regulations. More importantly, we need to improve public awareness through communication campaigns so that people understand the risks and avoid using illegal transportation services for their own safety and the benefit of their families.

Thank you for your time!