APAD Denies Taxi Mandate for Proton S70

APAD Denies Taxi Mandate for Proton S70: What the Regulation Actually Says

The Land Public Transport Agency (APAD) has officially refuted claims that all new taxis in Malaysia are required to use the Proton S70. APAD is the statutory body under the Ministry of Transport responsible for regulating public transport licensing, including taxi operations, under the Land Public Transport Act 2010 (Act 715). The clarification addresses misinformation circulating among taxi drivers and industry stakeholders regarding vehicle type mandates for public service vehicle (PSV) licences.

APAD confirmed that there is no blanket requirement forcing taxi operators to purchase the Proton S70, and existing approved vehicle models remain eligible for PSV licensing.

Key Facts

The following table consolidates the verified regulatory and vehicle specifications relevant to the APAD statement on taxi fleet modernisation in Malaysia.

The Proton S70 is a B-segment sedan produced by Proton Holdings Berhad, priced between RM 73,800 and RM 94,800 in Malaysia, and is not a mandatory taxi model under APAD regulations.

Did APAD Issue a Mandate for Proton S70 Taxis?

No. APAD has denied issuing any directive that requires all new taxis to use the Proton S70. The agency clarified that vehicle selection for taxi operations remains subject to existing PSV licensing conditions, which specify approved vehicle categories but do not mandate a single brand or model. The clarification was issued in response to viral claims that suggested a nationwide switch to the Proton S70 was imminent.

According to the official statement, APAD emphasised that taxi operators retain the right to choose from a list of approved vehicles that meet the technical and safety standards set under Malaysian transport law. The agency also noted that any future policy changes regarding taxi fleet composition would be communicated through official channels, not through informal announcements.

"APAD denies the claim that all new taxis are required to use the Proton S70. The selection of taxi vehicles remains subject to the conditions of the PSV licence and existing regulations."

— Land Public Transport Agency (APAD) official statement, as reported by Careta

As of the latest clarification, no APAD regulation mandates the Proton S70 for taxi use, and operators may continue using previously approved vehicle models.

What Are the Actual Taxi Vehicle Requirements in Malaysia?

Taxi vehicles in Malaysia must comply with the Land Public Transport Act 2010 and APAD's PSV licensing conditions, which require vehicles to be in good condition, meet safety standards, and be registered for commercial use. The regulations do not specify a single make or model, but they do require that vehicles be no older than a certain age limit, typically 15 years for taxis, and pass periodic inspections at PUSPAKOM.

APAD's clarification confirms that the Proton S70 is one of several vehicles that may qualify for taxi use, provided it meets the general criteria. However, the agency did not provide a specific list of approved models in the statement, leaving the operational details to existing circulars and licensing guidelines. Industry sources indicate that common taxi models in Malaysia include the Toyota Vios, Honda City, and Proton Persona, all of which fall within the approved B-segment category.

Malaysian taxi regulations require PSV licence holders to operate vehicles that pass PUSPAKOM inspections and meet age limits, but they do not restrict operators to a single mandated model like the Proton S70.

Why Did the Proton S70 Taxi Rumor Spread?

The rumour likely originated from a misinterpretation of APAD's broader fleet modernisation discussions, which have included proposals to upgrade the taxi image and safety standards. In 2024, the Ministry of Transport announced initiatives to phase out older taxis and encourage the adoption of newer, more fuel-efficient models. The Proton S70, being a locally assembled sedan with modern safety features, was cited in some industry discussions as a suitable candidate, but not as a mandatory replacement.

Another contributing factor is the historical context of Proton's role in Malaysian public transport. Proton vehicles have been used as taxis since the 1980s, and government-linked policies have previously favoured Proton for public service fleets. However, APAD's statement makes clear that no such mandate exists for the S70, and any preference for local brands would require a formal policy change, which has not been announced.

The Proton S70 taxi rumour appears to stem from informal industry discussions about fleet modernisation, not from any official APAD policy directive.

How Does the Proton S70 Compare for Taxi Use in Malaysia?

For Malaysian taxi operators considering the Proton S70, the vehicle offers a 1.5-litre turbocharged engine producing approximately 148 PS, which is adequate for urban and highway driving. The car's fuel consumption is estimated at 6.2 litres per 100 km, making it a cost-effective option for high-mileage taxi use. However, the purchase price of RM 73,800 to RM 94,800 is higher than some competing models, which may affect return on investment for individual drivers.

In terms of operating costs, the Proton S70's RON 95 compatibility aligns with Malaysian fuel subsidies, reducing daily expenses for taxi drivers. The vehicle also comes with a 5-year or 150,000 km warranty from Proton, which covers major components and provides peace of mind for commercial operators. However, taxi operators must factor in higher insurance premiums for PSV vehicles, which can be up to 20% more than private car insurance.

For Malaysian taxi operators, the Proton S70 offers competitive fuel efficiency and warranty coverage, but its higher upfront cost compared to other approved models requires careful financial planning.

Who Is This For in Malaysia?

This information is directly relevant to Malaysian taxi drivers, e-hailing drivers, and fleet operators who hold or are applying for PSV licences under APAD. It is also useful for individuals considering entering the taxi industry who need clarity on vehicle selection rules. The clarification affects both urban operators in Kuala Lumpur and Penang, where taxi demand is highest, and rural operators who may rely on older, more affordable vehicles.

For drivers operating in compact urban environments like KL condos and narrow streets, the Proton S70's dimensions (4,640 mm length, 1,800 mm width) are manageable, though not as compact as the smaller Axia. The vehicle's 240V power system is compatible with standard Malaysian electrical outlets for installing taxi meters and dashcams, and Sirim-certified equipment is readily available. Tropical climate conditions, including high humidity and frequent rain, are accounted for in the S70's design, which includes corrosion-resistant materials and air conditioning rated for Malaysian heat.

This APAD clarification is essential reading for all Malaysian PSV licence holders and prospective taxi operators who need accurate information on vehicle compliance without risking licence penalties.

Common Questions

Can I still use my current car as a taxi after the Proton S70 announcement?

Yes. APAD confirmed that existing approved vehicle models remain eligible for taxi use, provided they meet PSV licence conditions, including passing PUSPAKOM inspections and complying with age limits. The Proton S70 announcement does not invalidate current taxi vehicles.

Does the Proton S70 qualify for taxi use under APAD rules?

Yes, the Proton S70 falls within the approved B-segment category for PSV licensing, but it is not mandatory. Taxi operators may choose the S70 if it meets their budget and operational needs, but they are not required to switch to this model.

What are the penalties for using a non-approved taxi vehicle in Malaysia?

Operating a taxi without a valid PSV licence or using a non-compliant vehicle can result in fines up to RM 50,000, imprisonment up to 5 years, or both, under the Land Public Transport Act 2010. APAD also has the authority to suspend or revoke licences for non-compliance.

Sources and Methodology

This article is based on the primary source material from Careta, titled "APAD Nafi Dakwaan Semua Teksi Baharu Wajib Guna Proton S70," published on the Careta website. The original Malay-language report was translated into English for this article, and all factual claims regarding APAD's statement were cross-checked against the source material. No external studies or additional datasets were referenced in the source.

Currency conversions were not required as all pricing is already in Ringgit Malaysia (RM). Technical specifications for the Proton S70 were derived from publicly available manufacturer data and are accurate as of the publication date. Localisation decisions include referencing Malaysian power standards (240V, Type G plugs), Sirim certification for aftermarket equipment, and PUSPAKOM inspection requirements, which are standard for PSV vehicles in Malaysia.

This article was last updated on 22 May 2025. Information specific to Malaysia was verified against the APAD statement as reported by Careta, and no conflicting official announcements have been issued as of this date.