New bike-sharing draft guidelines issued in China

China's Ministry of Transportation issued new draft guidelines for regulating the bike-sharing sector on Monday.

As part of the proposals, bike-sharing clients will have to register for the services with their ID cards and anyone under-12 will not be allowed to register with the bike-sharing system.

Insurance, including Personal Accident Insurance and Third Party Liability Insurance, will also be mandatory. Bike-sharing firms are going to have to incorporate insurance fees into their initial sign-up costs.

Deposits paid by customers are also to be held in a trust-like account. Bike-sharing companies will not be allowed to access the deposit pool for corporate expenses.

The Transportation Ministry guidelines also suggest the creation of a credit database, with any damage caused to the shared bicycles being noted on the user's credit report.

Guidelines also suggest limits on the number of bicycles companies will be able to put into service in any given city.

Massive demand for shared bicycles in Chinese cities has led to significant problems, with bicycles clogging up high-traffic areas.

Public input on the new proposals will be accepted by the Transport Ministry for the next two weeks.

(GBTIMES)