Urgent CBTS Review Needed for Safer SG–JB Taxis

The issue. Singapore has kept its ban on cross-border ride-hailing between Singapore and Johor Bahru. The Land Transport Authority (LTA) says the reciprocal cross border taxi scheme (CBTS) remains the legal channel. The scheme licenses up to 200 taxis per side to shuttle passengers. Taxis may only pick up or drop off at one designated terminal in the other country: Ban San Street in Singapore and Larkin Sentral in Johor Bahru. Authorities are also studying app-based bookings and more boarding points to improve service.

A pragmatic history

The CBTS is a decades-old bilateral arrangement designed for predictability and oversight. Singapore taxis can collect passengers anywhere in Singapore, but must terminate at Larkin Sentral when entering Malaysia. Conversely, Malaysian taxis can pick up anywhere in Johor Bahru, but must end at Ban San Street in Singapore. The capped fleet and fixed terminals simplify checks, pricing, and driver standards. Today, licensed use is well below quota, with only about 300 active cross-border drivers. This shows room to modernise operations without discarding the framework.

Illegal operators and grey zones

Convenience gaps have fuelled illegal point-to-point car services offering door-to-door trips. These unlicensed operators dodge insurance and safety standards. Both governments have impounded vehicles and stepped up patrols. Licensed CBTS drivers warn that rogue services erode livelihoods and risk passenger safety. The limited boarding points create demand that illegal drivers exploit. The result is a grey zone that undermines confidence in the framework.

The latest CBTS policy stance

In August 2025, LTA reiterated there are no plans to liberalise cross-border ride-hailing. Instead, it is working with Malaysia to improve the CBTS. Proposed changes include app-based booking for licensed taxis and additional boarding and drop-off points. The aim is to raise convenience while keeping standards intact. Transport experts argue that licensed taxis, cross-border buses, and the RTS Link opening in 2026 can serve demand adequately. Opening to private-hire fleets could trigger congestion, uneven competition, and weak enforcement.

Expanding cross-border taxi pick-up and drop-off nodes

The scheme should add more locations beyond Ban San Street. Suggested Singapore nodes include: Changi Airport and Bedok MRT in the east; Jurong East MRT, Boon Lay MRT, and Tuas Link MRT in the west; Woodlands MRT in the north. Retaining Ban San Street keeps continuity. This wider network spreads demand but avoids overwhelming the CBD.

Limited point-to-point transfers

Another way to modernise is to allow limited point-to-point bookings, but only for CBTS taxis. These drivers already meet training, insurance, and compliance requirements. Granting them exclusive rights to accept such trips through approved apps boosts convenience while protecting fairness. The benefit should not extend to general ride-hailing fleets.

Geo-fencing enforcement

Geo-fencing technology can prevent misuse. Licensed cross-border taxis should not be allowed to pick up passengers in the CBD core, reducing congestion. Geo-fenced rules must also block them from taking Singapore-to-Singapore rides. This ensures they operate strictly as cross-border vehicles.

Digital upgrades

Integrating the licensed fleet into mainstream apps allows plate whitelisting, driver verification, and in-app payments. These tools close cash loopholes and give regulators visibility. Clear digital checks shrink the grey zone exploited by illegal operators.

Preparing for the RTS era

When the RTS Link opens in 2026, cross-border taxis should pivot into first- and last-mile roles around RTS stations. With controlled pick-up nodes, they will complement mass transit rather than compete with it.

Bottom line. The ride-hailing ban should remain, but the CBTS must evolve. With geo-fenced nodes, limited point-to-point bookings for licensed taxis, and digital enforcement, the scheme can balance convenience, fairness, and safety. Changi, Bedok, Jurong East, Boon Lay, Tuas Link, and Woodlands can join Ban San Street as key nodes. Benefits of modernisation must remain with licensed CBTS drivers to preserve livelihoods and trust.