Lawmakers on Wednesday passed a bill introducing premium taxi fleets to provide higher quality services, as well as bringing in six-seater vehicles.

Another piece of legislation lawmakers passed puts in place tougher penalties for those who operate illegal car rental services.

Transport minister Lam Sai-hung said introducing a licensed taxi fleet system is an important step to improve the taxi trade.

He said the taxi fleets will be allowed to have special paint jobs, as well as designate fares on pre-booked trips.

Transport sector lawmaker Frankie Yick said such taxis should be allowed to charge more based on the model of vehicle used.

"To encourage fleets to go for quality vehicles, there should be a fare structure to allow taxis to charge higher for better vehicles," the Liberal Party member said.

At the same time, the penalty for operating illegal car rental services has been doubled, to a maximum six months in jail for first-time offenders.

Meanwhile, lawmakers are expected to vote on a separate bill on Thursday that would bring in a new points system targetting taxi driver malpractices.

Those who commit offences such as overcharging and driving an indirect route would be given certain penalty points, and they would be disqualified from driving for up to six months if they accumulate 15 or more points within two years.