The Ministry of Transportation and Infrastructure says illegal ride-hailing businesses — ubiquitously found in Richmond — are a danger to both passengers and drivers.
In a statement Monday to media, the ministry outlined several causes for concern related to these businesses, which operate on a smartphone app.
“Passengers must know that when they hail a ride in a vehicle through these apps, they are choosing to take a trip in a vehicle that has not been licensed to operate legally in British Columbia. Current provincial and municipal regulatory requirements include: a regular, government-approved safety inspection of the vehicle; insurance that will cover the carrying of paying passengers; and a police background check for drivers,” noted the ministry.
Furthermore, drivers are assuming the risk of driving passengers illegally, not the businesses, such as Longmao, Udi Kuaiche, U Drop, RaccoonGo, GoKabu, Dingdang Carpool and AO Rideshare.
“It is the driver, not the app companies, that are operating illegally and are subject to penalties and fines of $1,150. These drivers are subject to possible further sanctions for not disclosing the commercial use of their vehicles to lease and insurance providers,” stated the ministry.
The Passenger Transportation Branch said it continues to investigate and issue penalties to these operators. To date, over 20 cease-and-desist orders have been issued and 23 fines of $1,150 have been given to drivers identified as operating without a licence, noted the ministry.
Reports on such services can be made to the branch at 604-527-2198.
In early January, as the provincial government discussed the future of ride-hailing in B.C. (such as regulating the likes of Uber) at a cross-party hearing, seven illegal ride-hailing services were already up and running around the province. Five of them were operating in Richmond alone, according to the BC Taxi Association, which presented at the hearing.
One of them, GoKabu, according to Global BC, refused to pick up two passengers because the reporter requiring a ride was non-Chinese.
Mo Anwar, Richmond Taxi’s general manager, said it costs, on average, about $8,000 to $10,000, on top of the price of a vehicle, to get a cab on the road legally.
Anwar doubts any of the drivers currently operating on the black market in Richmond - via Chinese-language apps, such as Udi Kuaiche and Racoon Go – have stumped up such money in order to do business.
And he claims the continued operation of such unregulated ride-hailing services is hitting his company where it hurts.
“Our business is down about 25 to 30 per cent from about a year ago,” Anwar told the Richmond News.
