An Edmonton New Year’s reveller was hit with an unwelcome surprise when he received a bill for $1,100 from the ride-share service Uber after peak-hour surge pricing for his 60-minute fare dampened his festive spirits.
The uber headache for the Edmonton man revealed the risks of using an unregulated and unmonitored service in favour of more traditional taxis. More importantly, it also revealed the uber pain in the backside cities have controlling where these types of services operate.
This is the second confirmed case of Uber operating in St. Albert – we suspect the unconfirmed cases amount to hundreds of rides. Technically, the company requires a business licence to operate in St. Albert. The city is also working on a more comprehensive taxi bylaw to better regulate the taxi and vehicle for hire industry.
But what does that mean for Uber? Unfortunately, it probably amounts to nothing but empty threats. The city can demand the company pay its business licence fee, it can also demand it comply with the city’s future bylaw, but both will be very difficult to enforce. We also suspect that Uber’s unwillingness to respond to our request about whether it would be paying the licensing fees demonstrates it has no intention of doing so.
Uber cars have no identifying markings, they are basically just another vehicle on the road. So, unless an Uber driver is somehow caught in the act or a patron reports the driver, which is unlikely, imposing fines on drivers will be extremely difficult.
That is not to say the city should stop moving forward with its new taxi bylaw. In fact, this recent case of gouging might be even more reason to do so.
Primarily, the city’s interest in a more comprehensive taxi bylaw is customer protection. That means ensuring not only that those who use the services are not being ripped off but also that they are physically safe.
While we have nothing against Uber per se, we do take issue with companies that undermine the rules that every other business must follow. Imagine the outrage from the restaurant community if food trucks did not require a business licence to operate. Having taxi and ride-share drivers subjected to compulsory criminal record checks and knowing when and where they are on the roads should also be standard.
Laws protecting patrons are not uncommon. Health and safety regulations help reduce the risk of restaurants poisoning us accidentally and over-serving laws help cut down on drunk drivers on the road. Criminal record checks in schools reduce the risk of our children being exposed to criminals and predators. No one would balk at those laws nor should one balk at the laws regulating taxi or ride-share services.
While catching Uber in the act would be difficult, there are ways to force the company to comply with the law. Namely to impose penalties that would ensure only the most daredevil of drivers would break the law. High fines and licence suspensions would be a good start to force compliance.
Uber justifies charging for one hour what it costs to fly overseas with a simple statement that riders know the rules. Two can play at the game, the city can say the same to Uber drivers who have to pay a month’s rent in fines and lose access to their livelihood for skirting the law.
