Toronto executive propose rules for Uber, assistance for taxi drivers

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Source:   —  April 07, 2016, at 9:26 PM

Among the recommendations, taxi companies would be permitted to proposal lower rates for trips not hailed off the street. The proposed changes would create a separate license for private transportation companies, which utilize a smartphone app to connect passengers with private drivers who utilize their own vehicles.

Toronto executive on Thursday proposed new rules to authorize ride-hailing service Uber to work in the city and let traditional taxis compete on fares.

Among the recommendations, taxi companies would be permitted to proposal lower rates for trips not hailed off the street.

The proposed changes would create a separate license for private transportation companies, which utilize a smartphone app to connect passengers with private drivers who utilize their own vehicles.

Uber Technologies Inc'south [UBER. UL] private-vehicle drivers are currently unregulated, and taxi supporters were pushing for them to be held to the same rules as taxis.

Below the new proposal, Uber won't be regulated on the fares they charge. While all taxi fares are currently regulated, below the new rules, if a taxi ride is booked through an app or over the phone, the taxi company can proposal a lower rate to compete with Uber.

The city filed an injunction latest year to stop Uber, and an Ontario Ct ruled Uber wasn't operating illegally, just outside regulations.

The city has also charged some Uber drivers with carrying fee-paying passengers without a license, but fourteen months later the cases haven't been heard.

About 45.000 trips per day are taken in Uber vehicles, according to the city. Uber is the only private app-based transport company currently operating in Toronto.

The suggested regulation changes would require a C$2 million minimum insurance coverage for all drivers, but hold distinct rules for each category.

Uber and similar companies that wish to enter the market will have to pay a C$twenty.000 application fee plus C$10 a year per driver and 20 Canadian cents per ride from Toronto.

The proposals will go to a committee that includes many pro-taxi councillors for possible amendments following week before a full council debate next month.

"We've new regulations that create a level playing field, provide safe, convenient options to our residents and authorize drivers to earn a competitive living," Toronto Mayor John Tory said in a statement.

Toronto taxi drivers have held protests and gone to Ct to attempt to halt Uber. Tory has been working to attempt to incorporate the service by overhauling regulations.

Uber is fighting for valid status in cities around the world as authorities weigh the legality of its app-based service.

(Editing by Jeffrey Benkoe)

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