MDP Criticises Government’s EV Taxi Service, Citing Policy Contradictions

The opposition Maldivian Democratic Party (MDP) has criticised the government’s decision to introduce an electric vehicle (EV) taxi service, arguing that the initiative lacks strategic direction and contradicts prior assurances given to taxi drivers.

The government formally signed an agreement yesterday, handing over the EV taxi service project to the Maldives Transport and Contracting Company (MTCC). The initiative is intended to promote environmentally friendly transportation while enhancing public mobility.

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However, MDP leaders have questioned the government’s involvement in a sector traditionally operated by private businesses.

MDP President Abdulla Shahid and MDP Chairman Fayyaz Ismail expressed their concerns on the social media platform X. Shahid, who previously served as Foreign Minister in the last MDP-led administration, criticised the government for what he described as a lack of strategic planning. He stated that the government should focus on creating a favourable environment for businesses, addressing industry challenges, and regulating sectors rather than competing with the private sector.

Shahid also suggested that the government’s actions reflect financial instability and a lack of clear economic policies.

The criticism intensified following remarks made by ruling People’s National Congress (PNC) parliamentary group leader Ibrahim Falah. On Tuesday, Falah assured the public that the government had no intention of entering the taxi business. However, the signing of the agreement on Wednesday appeared to contradict this statement.

Shahid highlighted this inconsistency, arguing that the government’s conflicting statements on the matter indicate an absence of a clear policy direction.

Former Economic Minister Fayyaz Ismail also criticised the initiative, stating that the government had reversed its assurances to taxi drivers. He argued that while the policy was presented as beneficial to the public, it could negatively impact private taxi operators.

Fayyaz further stated that although the government claims private businesses will not be affected by the MTCC taxi service, consultations with taxi drivers should have been held instead of directly competing with them. He warned that the government should not engage in business ventures arbitrarily, as this could lead to unfair competition.