Edmonton bylaw would cause Uber operations to cease says GM

Edmontonsun.com
Nov. 13, 2015
By Dave Lazzarino

Edmonton's bylaw scribes are getting closer to a destination in their attempts to rewrite the city's vehicle for hire rules but neither the cabbies nor Uber seem willing to go along for the ride.

"We're very disappointed with it," said Pascal Ryffel, spokesperson for Driving for Equality, a public outreach campaign in support of the city's taxi industry. "There was no chance for input, once again, or consultation or anything like that. And it really just addressed the bare minimum."

Ryffel said the proposed bylaw does nothing to address improved safety efforts for ride-sharing services like Uber, calling it a "very poorly thought of piece of legislation."

Ride-sharing company Uber isn't exactly on board either.

"It would cause us to cease operations in Edmonton and end ride-sharing in Edmonton. There are several amendments that need to be made," said Ramit Kar, general manager for Uber Alberta.

"The fee structure actually would be one of the most expensive in the entire world when it comes to regulated ride-sharing markets," said Kar, adding if the proposed bylaw passes three readings at next week's city council meeting, the two weeks for it to be implemented is far too hasty.

As written, the bylaw would charge private transportation providers (PTPs) like Uber a licence fee of $1,500 a year plus another $920 for every licensed vehicle. As well, each driver would have to pay $60 for a licence.

"The city in essence is asking for $3 million in fees, which is more than double that current department's budget is," said Kar, adding the service a company like Uber is providing is in itself a public good.

Ryffel, however, feels the city has done too much to bend to Uber's whims.

"The city needs to think about what's most important here. Is it appeasing a large corporation and their business plan or is it ensuring the safety of the people of Edmonton, and ensuring the sustainability of the taxi industry in Edmonton," he said.

When asked whether a bias in favour of taxis is simply the same argument in the other direction, Ryffel said the city was involved in the development of the taxi industry and should therefore have a stake in supporting it.

"It's an extension of the city administration itself in many ways. It is put together over decades with consultation with the taxi commission and city council," he said.

Despite the rift between the two extreme sides, some on council believe the bylaw may be close to being finalized.

"I'm hopeful," said Coun. Michael Oshry, who says the province is also working on the details of new insurance rules to cover ride-sharing.

"We have to get something in place because the situation we have now is not great so we have to do something different," Oshry said. "We weren't far off of it the last meeting. There were a few logistics that we wanted to look at but overall there's something to be done next week."

Mayor Don Iveson said he's not sure the bylaw will pass all three readings next week but will be the start of an evolving industry.

"We're going to make space for new supply. I think the best way to provide that new supply is with private transportation providers rather than issuing more heavily regulated cab licences," he said. "Our job here is to pass rules that serve the public interest."