MALAYSIA/SINGAPORE: Johor authorities are considering a tracking system for Singapore cross-border taxis, as both countries gradually expand taxi services across the Causeway.
The system would allow officials to monitor taxi routes and ensure that passengers are picked up and dropped off only at approved locations. The proposal comes as Malaysia and Singapore prepare to loosen some long-standing limits on cross-border taxi operations.
Johor’s state executive councillor for works, transport, infrastructure, and communications, Mohamad Fazli Mohamad Salleh, said the move would mirror Singapore’s own requirement for Malaysian taxis operating in the republic. The tracking requirement is still under discussion, including who would pay for the installation, according to The Star’s March 7 report, which cited an interview with Bernama.
The idea follows Singapore’s rollout of the Electronic Road Pricing 2.0 (ERP2) system. Singapore has already said Malaysian taxis entering the republic must install ERP2 on-board units before the system fully launches on Jan 1, 2027.
Singapore’s Acting Transport Minister Jeffrey Siow explained earlier that the devices will allow authorities to track vehicles and enforce rules if vehicle drivers attempt illegal local trips within Singapore, according to Channel NewsAsia‘s March 9 report. Johor now appears to be preparing a similar safeguard on its side.
Under the proposal, Singapore taxis entering Johor could only drop passengers at 12 designated locations across the state. These include major destinations such as Senai International Airport, JB Sentral, Medini, Southkey, Mount Austin, and Eco Botanic. The list also includes Johor Premium Outlets near Kulai, along with five other yet-to-be-named shopping malls.
Fazli explained that these locations were chosen because they are key destinations for visitors. Some travellers arriving at Changi Airport, he said, may prefer to take a taxi straight to Johor rather than change transport along the way.
The policy would expand where passengers can be dropped off, but would still prevent taxis from offering local point-to-point rides within the host country. Cross-border taxis have long operated under tight rules designed to avoid competing with domestic taxi services.
At present, Singapore taxis can only drop off passengers at Larkin Sentral Terminal in Johor Bahru, while Malaysian taxis heading the other direction operate from Ban San Street Terminal in Singapore.
Both governments agreed last December to loosen those restrictions. Foreign taxis will soon be able to drop passengers anywhere outside their home country, though pick-ups must still happen at designated points.
Authorities also plan to raise the number of licensed cross-border taxis from 200 to 500. However, neither government has announced when the changes will take effect.
The new tracking proposal would help enforce those rules once the system expands, ensuring that all licensed cross-border taxis comply with the new regulations and providing a framework for effective monitoring of their operations.
For vehicle drivers, the changes could mean more trips and greater flexibility, as they may be able to operate across borders more easily and take advantage of varying demand in different regions.
Taxi operators from both countries have reportedly welcomed the plan, but they hope fares will eventually be standardised. At present, prices differ depending on where the trip begins. A one-way ride from Larkin Sentral to Ban San Street Terminal costs about RM120, roughly S$34. A similar trip starting in Singapore costs about S$60.
For travellers, the biggest change may be convenience, as the new system, if implemented, could allow direct taxi trips to places such as JB Sentral or Johor Premium Outlets without forcing passengers through a single terminal stop.
Traffic across the Causeway has increased in recent years as tourism, shopping, and daily commuting continue to grow. Regulators on both sides now share the same challenge in allowing more movement while keeping the system fair for local transport operators.
