Corp Comm Connects

 

Ottawa cab fares high, plate distribution low

ottawasun.com
Oct. 15, 2015
By Jon Willing

Ottawa cab fares are higher than other cites, per-capita plate distribution is lower and it's cheaper to operate a taxi today than it was four years ago, according to the first reports in a sweeping review of the taxi bylaw.

One of the reports released Thursday says the city can't keep up with transportation rebels like Uber, mostly because the fines aren't much of a deterrent.

The city released two reports as a jumping-off point for the review led by KPMG. The reports, which are on the city's website, provide overviews of the regulatory system in Ottawa and other cities in North America.

Gloucester-Southgate Coun. Diane Deans, chair of the committee that oversees taxis, is encouraging people to read the reports and learn about what's happening in the taxi and ride-sharing industries.

"This is just one starting point today," Deans said.

Hara Associates, KPMG's study partner, points out taxi operating costs have actually decreased 6.4% since 2011. Meter rates in Ottawa haven't increased since that year.

Taxi fares in Ottawa are high compared to other cities, according to Hara. A 10-km trip in Ottawa is $21.78. In Windsor, that same trip is $17.84.

Low penalty levels hamper enforcement of Uber and other "bandit" taxi providers, Hara says. The city has been trying to get more powers from the province.

City bylaw can't keep up to Uber. The city needs to use new credit cards and phones during blitzes. "Stacked against this is the large volume of Uber activity in Ottawa, reducing the likelihood of prosecution for individual Uber drivers," the Hara report says.

Out of 15 cities selected by KPMG, Ottawa is on the low end of the number of taxi plates issued per 1,000 people at 1.34. Cities on the high end are Washington, D.C. (9.56), New York City (3.02), Boston (2.78) and San Francisco (2.71). As for other Canadian cities, there's Toronto (1.85), Waterloo (3.37), Montreal (2.40) and Edmonton (1.50).

However, Ottawa has a high rate of accessible taxi plates at 16%. Toronto is 10%, while New York is 1%.

For case studies, KPMG looks closer at three Canadian cities - Toronto, Waterloo and Vancouver - and three U.S. cities - New York, Washington, D.C. and San Francisco.

In most cities with new licensing categories for ride-sharing services, those cars can't accept curbside hails or use taxi stands. Drivers need criminal background checks, but mandatory driver training varies. Regulations on vehicles also differ.

KPMG will deliver a final report to City of Ottawa staff by the end of the year. From there, staff will decide what bylaw changes should go to council.

Additional reports on the taxi industry will be published over the next two weeks.