As reported by a spokesperson, the absolute minimum start-up cost for drivers to use the very popular ride hailing service was of about 150,000 pesos including the vehicle, but the vast majority of the cars in service have a value of more than 200,000 pesos with installed features.
Taxi drivers in cities around the world have complained that Uber drivers, who are booked via a smartphone application, are poorly regulated and provide unfair competition. The drivers’ vehicles must be kept at their homes. Uber rides are booked with a credit card. Before the regulation was published, the firm said the price had “no logical benefit” to the city.
Pedro Soria of the United Taxis and Leaders group says the new rules favor the apps.
Uber opened in Mexico City in 2013. That meeting saw a split in support from councillors, who asked city administration to study what other cities are doing to regulate Uber.
“Today Mexico City’s megalopolis is making history”, the USA company said on its website.
In a statement, Uber commended the regulations issued Wednesday and said Mexico City was the largest in the world to take such a step. Each Uber vehicle will also need a 1,599 peso yearly permit, a government transport official said.
The fine was part of a ruling by an administrative law judge at the California Public Utilities Commission, the regulatory agency that allowed Uber and its competitors such as Lyft to operate in the state as long as the companies reported aspects of their activities.
Here’s what’s happening with Uber in other cities across Canada: Vancouver: Uber was put on hold by the city in 2012, and has been banned from operations since; Calgary: Uber has been stymied by a regulation requiring a minimum $78.34 charge for any sedan or limousine trip, and can’t compete with the city’s more affordable taxis; Edmonton: City council asked Uber to voluntarily withdraw until new regulations were approved.