Secretary for Transport and Logistics Mable Chan said on Wednesday officials have proposed that fare levels not be set for future ride-hailing service providers in part because they consider the interests of the people the top priority.

Officials unveiled on Tuesday a proposed regulatory framework for such services that will see platforms granted five-year licences which come with a limit on the number of licensed vehicles, but not the drivers.

Chan said she wants to see healthy competition between ride-hailing operators and the taxi trade and that more talks will be held to iron out the details.

"I have seen other overseas experiences regarding online car-hailing services," she said on an RTHK programme.

"When there is no supply limit, there is vicious competition, or 'involution'. In some cases, there are even cut-throat fare reductions.

"In this regard, the government has to consider whether it is necessary for us to retain some of our own powers. Should fares be too low or too high, they might affect healthy competition in the industry and people's ability to travel."

The government, she added, is keeping an open mind on whether to charge future ride-hailing operators a fee to support the taxi trade.

She noted this had been floated by taxi operators and that officials would speak to stakeholders with a view towards reaching a consensus.

Chan stressed that even after licences are granted in future, ride-hailing services will be supplementary to traditional taxis as the aim is for them to serve during rush hours or late at night.

She said while the government welcomes more platforms to apply, it also thinks too many providers might be confusing for passengers.

Officials, she added, plan to set an appropriate entry threshold to ensure service quality.