Uber Black a step closer in Calgary as committee endorses limo plan

Changes to Calgary'slimousine bylaw that would smooth the road for ride-hailing apps like UberBlack to operate in the city were given a preliminary nod by a city committee Wednesday and will go to council for a full vote next month.

Uber, however, doesn't think the proposal goes far enough.

• Listen to the Calgary Eyeopener's Unconventional Panel's Uber debate

The proposed amendments would lower, orremove, existing hurdles that stand in the way of limousines or luxury cars being used an on-demand transportation option in Calgary.

UberBlack is the luxury version ofUber'sapp-basedride-hailing service. Insome jurisdictions, it also offersUberX, a service thatsees ordinary people driving their everyday cars effectively work as on-demand taxi drivers, but that is not being considered for Calgary for the time being.

Currently,limorides mustbe booked at least 30 minutes ahead of time and the minimum fare is $84.60.

City staff recommend eliminating the pre-booking requirement and knocking the minimum fee down to $25, while also introducing a distance-based fare system to replace the existing hourly ratefor limos.

The farewould be based on a fee of $2.10 per kilometre,asdetermined by a GPS-enabled and city-approved app on limo customers' phones, rather than a traditional taxi-meter-type system.

Taxi driver concerns

John Bliss, a retired taxi driver, told committee members the new limo fees are too low and would overlap thetaxi market too much, threatening cab drivers' livelihoods.

Unlike taxis, there is no cap on the number of limos that can operate in Calgary.

Bliss suggested a minimum fare closer to $45 and a distance fee of $2.70 per kilometre to better differentiate limousines as a premium service.

Current taxi rates in Calgary include a $3.80 initial charge plus a distance fee of$1.67 per kilometre.

Limo company supports changes

Roger Richard, president of Associated Cab and Allied Limousine, which already operates an app named"Allied Black" that can be used to order both cabs and limosunder the city'sexisting bylaws,supported the proposed changes.

Uber is a taxi service, says Associated Cabs president

9 years ago

Duration 1:11

Roger Richard, the president of Calgary's Associated Cabs, thinks Uber should follow the same rules imposed on any taxi company in the city.

"Let's give the consumer a choice," Richard told committee members."Let's stop protecting (the taxi industry)."

Richard said he recognizes the past year, with the city'srelease of 126 more taxi plates and the economic downturn eating into individual driverearnings, has been a tough one for many cab driver, but said that's only a temporary situation.

"This year, there's no doubt, business is down," he said."But it's going to go back up."

In the previous five years, Richard noted demand for taxi service routinely overwhelmed the available supply and said the limousine bylawchanges would help improve overall service during peak hours.

Uberweighs in

RamitKar,Uber'sgeneral manager for Alberta, said the city's plan doesn't go far enough and the minimum fee for a limousine shouldn't just be reduced, it should be scrapped.

"As the city's own third-party research clearly showed, 74 per centofCalgarianswant to see the minimum fare completely removed," Kar said in anemail.

"Calgariansunderstand that fare regulation is unnecessary when customers are empowered and informed," he added.

"The protectionist recommendations headed to city council do not putCalgariansfirst, and will not allow technology companies likeUberto bring premium services, includingUberBlack, to Calgary."

Contentious vote

City councillors on the transportation committee were divided on the proposal, voting 4-3 in favour of the recommended changes, but that's far from the final word.

The matter will now go to city councilon Oct. 5 for a full vote.

At the committee meeting Wednesday, Couns. Gian-Carlo Carra, Richard Pootmans, Evan Woolley and Diane Colley-Urquhart voted in favour of the bylaw changes.

Couns. Sean Chu, Joe Magliocca and Jim Stevenson were opposed.

SimultaneousUber debate inToronto

The discussion in Calgary came asToronto city council grappled with how to regulate Uberin its city.

Toronto Mayor John Tory has said the city must acknowledgethat Uber and services like it aren'tgoing away but that they can't continue to operate in a "Wild West" environmentoutside city rules.