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Canada: Competition Bureau urges policy makers to re-think taxi regulations

 |  February 4, 2019

The Competition Bureau is urging policy makers in British Columbia (BC) to re-think provincial taxi regulations and make them better for consumers and businesses alike by applying the principles of competition.

In line with its report on Modernizing Regulation in the Canadian Taxi Industry, the Bureau encourages BC’s Select Standing Committee on Crown Corporations to level  the playing field for taxis and ride-sharing providers, allowing them to compete more effectively with each other for passengers.

In response to the committee’s request for comment, the Bureau made the following evidence-based recommendations:

1. Ensure that regulations are fair and do not favor either taxi providers or ride-sharing platforms;

2. Provide drivers with the flexibility to choose their own service areas, rather than requiring drivers to stay within limited geographic boundaries;

3. Allow market forces to determine how many drivers are available to serve passengers; and

4. Let pricing be determined by market forces to ensure the best outcomes for both drivers and passengers.

The Bureau believes that applying these recommendations will increase competition in the BC ride-hailing industry. Increased competition generally leads to more innovative products, lower prices, and higher quality services.

Full Content: Canada

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