Shao Changliang, a Beijing-based taxi driver who challenged a decade-old ban on individual taxi operators, was refused a public hearing by local authorities.

The Beijing Municipal Transportation Management Bureau denied Shao and two other drivers individual taxi licences at the beginning of the month.

Wen He, an official with the bureau, told Shao on Friday that his application for a hearing was not approved based on the Administrative Licensing Law, the Beijing Times reported.

Although the result was not unexpected, Shao did not accept the bureau's explanation.

He said the reply did not say which regulation was used to justify the rejection.

"Initially, the bureau did not tell me of the right to apply for a public hearing," Shao said.

The bureau received Shao's application on July 1.

Wen said the decision to deny the public hearing was based on the fact that the issue is not vital and does not affect public interests.

"The decision was made strictly according to the Administrative Licensing Law," he said.

Shao is now considering taking legal action to safeguard taxi drivers' rights.

"I could sue the transportation management bureau for an administrative action," the driver said.

"Or I could apply to the bureau for an administrative reconsideration," he said.

But the Beijing Times commented that Shao will face big challenges, no matter what choice he makes.

Approval of individual taxi operating licences has been officially frozen in Beijing since 1994, sources said.

The bureau told Shao that the industry is saturated and the bureau needs to control overall numbers.

The total amount of taxis in Beijing reached 63,000 in 2000. That figure is still holding.

According to a layout drafted by the Beijing municipal government, the number of taxis in the capital city will be cut to 60,000 by 2005.

But Che Dianguang, a driver accompanying Shao, said the move is just another way of monopolizing the market.

"Participation of individual taxi drivers could introduce more competition into the trade, which might trigger price adjustments and bring more benefits to consumers," he said.

Beijing taxi drivers have long complained that they work long hours but make little money after payments to their companies.

In the two weeks after Shao filed his application, the first since the ban was issued 10 years ago, more than 1,000 taxi drivers filed applications to the bureau, the Beijing Times reported.

(China Daily July 26, 2004)