A bearer share is like cash. Whoever is in possession of it owns that cash. A bearer share is the same way. There's no individual to which it's issued. If you hold it, if you possess it, you have the rights that attach to that share.
A registered share is a little bit different. It's issued to a specific person, and there are records that confirm that. For example, 25 shares were issued to Ms. So-and-so at such-and-such a time. It's not just a question of the possession of the shares; there is a registered record of who owns the shares, which is not the case in bearer shares.
The section that you referred to is interesting in that it provides for turning a bearer share into a registered share at the request of the holder of the bearer shares.
That's all fine, but what we're saying is that there should be other triggers that turn bearer shares into registered shares, so that over time, bearer shares that were issued before the modifications get flushed out and turned into registered shares.