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UPDATE: Provincial government ride-sharing legislation a huge fail, says Kamloops MLA

RideHailingBC
(via Shutterstock)

Businesses like Uber, Lyft and Grab could be operating in B.C. by this time next year, if legislation from the provincial government goes forward as planned.

The province introduced legislation today (Nov. 19), according to a press release, with the goal of allowing regulated ride-sharing operations by fall 2019. As part of the legislation, ICBC will create a new insurance product for ride-hailing services, a per-trip fee will be created to fund accessible transportation and there will be increased enforcement of rules for taxi and ride-hailing companies.

"This is milestone legislation that gets ride-hailing right for B.C.," says Claire Trevena, Minister of Transportation and Infrastructure, in a press release. "British Columbians absolutely want more options and flexibility in how they get around, but with checks in place to make sure their ride is a safe one."

If passed, the Passenger Transportation Amendment Act will enable:

  • ICBC to develop a modern insurance product for ride-hailing for fall of 2019.
  • A new, data-driven approach to improve taxi service and ride-hailing opportunities, particularly at high-demand locations and peak times, by strengthening the Passenger Transportation Board’s authority to determine fares, vehicle supply and operating areas.
  • The development of measures to make sure people are not left stranded when traveling from one municipality to another.
  • The inclusion of a per-trip fee to fund more accessibility options for people with disabilities.
  • Increased enforcement of the rules with stiffer penalties for taxi and ride-hailing companies for working outside the law.

A new, legislative committee will review these changes as regulations are put in place to make sure government is on the right track with modern, safe taxi and ride-hailing service.

In drafting the Passenger Transportation Amendment Act, government’s priority was to make sure British Columbians are safer on the roads, and will be requiring all ride-hailing and taxi drivers to maintain a Class 4 passenger licence and undergo mandatory criminal checks.

With these legislative changes, government expects applications from ride-hailing companies wanting to enter the market will be submitted to the Passenger Transportation Board (PTB) by fall 2019.

Earlier this year, the Province adopted a suite of recommendations to modernize the taxi industry, including giving the industry the flexibility to discount fares when trips are booked through an app, and boost the number of cabs throughout B.C. to give people more rides.

Learn More:

For the presentation documents for the technical briefing, visit: https://news.gov.bc.ca/files/Technical_Brief_REV_Nov_2018.pdf

For industry notices from the ministry’s Passenger Transportation Branch, visit: http://www.th.gov.bc.ca/rpt/industry_notices.htm

A backgrounder follows.

Penalties will also be increased. The current maximum is $1,500, according to a provincial PowerPoint document; new penalties will max out at $50,000.

Anyone driving for ride-hailing services will be required to have a Class 4 passenger licence as well, and go through a criminal record check.

At the same time, local governments will have some say in the businesses, like business licenses and traffic by-laws.

The expectation, according to the press release, is for ride-hailing companies to submit applications to the provincial Passenger Transportation Board by fall of 2019.

A new committee will also be created to review the legislative changes.

Kamloops Liberal MLA and former transportation minister Todd Stone isn't happy with the legislation and thinks it'll essentially block ride-sharing companies from operating in B.C.

"I think this is a huge NDP fail," he says. "It's hard to imagine ride-share companies making a go of it in Vancouver, nevermind smaller places.

"This legislation provides such sig obstacles to entry."

Stone takes particular issue with the NDP regulations on ride boundaries, control over the number of vehicles on the road at a given time and fees, calling them "onerous requirements."

He adds today's announcement pushes back the NDP's promise for when ride-sharing would happen in B.C. During the last election it was promised for Christmas 2017, and that was pushed back to Christmas 2018.

"Today, we're hearing the NDP are taking another year to develop the insurance product; the government has had almost 16 months to prepare the insurance product," Stone says. "It's one delay after another."

The Liberals included ride-sharing as part of their platform during the last provincial election. Stone says the plan, announced in February 2016, would have meant a more free market version of ride-sharing services in place for Christmas 2017.

He points out other jurisdictions in North America don't face the same regulations, and other industries haven't gone through similar legislative processes.

"Today, British Columbians book their own flights online, bank online and shop for groceries online. Nobody is asking the government to protect travel agents," the MLA says.

— Editor's note: This story was updated to include MLA Todd Stone's comments