Council decides Uber is legal in Toronto

As reported yesterday, Toronto's city council was deciding whether to impose regulations that would have resulted in high fees for Uber drivers, and thus make it difficult for Uber to operate in the area. The discussions ended in a compromise, meaning Uber is finally legal in Toronto. The deal outlines a set of rules for private transportation companies (PTC) and some modifications for existing taxis. One of the main rules is that Uber X fares are now to be set at $3.35, the same as taxicabs. Other taxis are now allowed to use surge pricing. 

Uber is finally legal in Toronto after a marathon council session at city hall yesterday that ultimately resulted in a compromise for regulating the service. At the heart of the deal is a new set of rules for private transportation companies (PTC) and a variety of modifications for existing taxis.



Perhaps the most noteworthy of these is the decision to set the minimum price of all Uber X fares at $3.25, the rate currently used by taxicabs. Traditional taxis will also be allowed to use the surge pricing under the new regulations but only when fares are booked through an app. Better for the customer, taxi companies will also be able to lower fares for rides booked through apps.

"Uber can certainly live with this," said Canadian General Manager Ian Black. The sentiment that his company got a great deal was noted by a number of left wing councillors, who believe that the city was too soft on the ride sharing service and didn't do enough to protect taxi drivers.

Big news Toronto... City council welcomed ridesharing today! Thank you Toronto and Mayor Tory. Excited for the road ahead. #TO4Uber â Uber Canada (@Uber_Canada) May 4, 2016

To combat this sentiment, training requirements were loosened for taxi drivers and Uber drivers will now be required to file documents with the city, which include their licence, insurance, and vehicle inspection reports, which will be required twice a year.

Some of the most controversial relegations related to Uber have been pushed back for further debate. The most notable of these is the proposal to cap the number of PTC drivers on the road, which was not part of the vote on Tuesday.

In other words, the Uber debate isn't over in Toronto, but the major pieces of the puzzle have been put into place.