Taxi platforms cannot be considered public service, say specialists

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Published Wednesday, March 20, 2019

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Taxi platforms cannot be considered
public service, say specialists

By the A.M. Costa Rica staff

Regulating the taxi service or private transportation of people through digital platforms (similar to Uber) continues to be a subject of discussion for the deputies of the Economic Affairs Committee of the Legislative Assembly.

On Tuesday, the deputies received César Blasco López, President of the National Chamber of Private Drivers of Technology Platforms, and Elías Soley, Representative of the Costa Rican Chamber of Commerce of North America.

Mr. Blasco supported his thesis that bill #21.228 presented by the Ministry of Transport lacks technical bases and does not show the reality of the new business models present in the market, where technology plays an important role.

"This project can only save the title and the signatures because it tries to encase this digital platform service in an entangled and outdated regulation," Blasco said.

According to Blasco, there are many families that depend on the thousands of jobs that these platforms have come to create and therefore a regulation should be in line with the reality of private service and not be confused with the characteristics of the public service that is necessary.

"Drivers and platforms deserve legal security, but they have to be open and quick to take the project forward with the premise that we are not public transport and that we do not want to become public transport," Blasco said.

Similarly, Elías Soley, representative AmCham, said that he believes that the regulation of this service represents a challenge posed by the fourth generation of the industrial revolution that "changes the formats of doing business. This is where the government must respond with creative solutions for encouraging the development of new companies and regulation based on the conditions of each service."

Soley said that promoting a modern regulatory environment guarantees that both services coexist and therefore invites the deputies to reject the project proposed by the Ministry of Transport and create one according to the technology business model proposed by the platforms. He took the opportunity to affirm categorically that the service cannot be compared in any way with the traditional public service.

"If the government does not respond quickly and equitably to the realities of new business, we will be compromising Costa Rica's digital future," said Soley.

A.M. Costa Rica wire services photo

Deputy Paola Vega said the bill has many shortcomings and should be presented with a new more comprehensive text.

Mr. Blasco also denied that representatives of the Ministry of Transportation have requested information on the activity of private transport to draft the bill. "We never received any request for information or wanted to listen to us," said Blasco.

Deputy Paola Vega said the bill has many shortcomings and should be presented with a new more comprehensive text.

In addition, the Deputy Vega considers that the government must intervene and regulate the controversy caused by lack of a law.

"We must respect the trajectory of the state intervening in the regulation of a service aimed at citizens," said Vega.

The bill #21.228 was presented by the Ministry of Transport and includes the regulation of technological platforms that provide paid transport service for people (similar to Uber), under the same conditions of traditional public service as the service provided by red taxis.

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