Uber's quest to enter all B.C. markets denied

• Uber surprised and disappointed
• Says there is meaningful public demand
• Taxi industry opposed to ride-hailing

Ride-hailing company Uber said it’s surprised and disappointed by the B.C. Passenger Transportation Board’s (PSB) decision to deny its expansion into the rest of the province, including Kelowna.

The company was licensed to operate in the Lower Mainland and Whistler in January 2020, before the COVID-19 pandemic.

However, an investigation by the PSB, noting the impacts of the pandemic on the transportation industry, found the current economic climate is not right for the expansion.

The board found Uber is fit, proper and capable of providing the proposed service. But in its ruling said, “in the current circumstances, the PSB is not convinced that there exists a public need for the service applied for."

"Further, the Board considers that the Application, if granted at this time, would not promote sound economic conditions in the passenger transportation business in BC.”

In a statement, Uber Canada told Kelowna10 the decision "is surprising, disappointing and inconsistent with what we hear from communities like Victoria and Kelowna. There is meaningful public demand for ridesharing services, as demonstrated by the support from local community and business organizations, and the strong uptake of ridesharing in Metro Vancouver since we launched. “

The company, which cited support for ride-hailing from the likes of the City of Kelowna, Tourism Kelowna, MADD Canada and the BC Restaurant and Food Services Association, said it would review the full ruling and make a decision regarding its next steps in the coming weeks.

As part of the application and market investigation, the PSB also heard from various taxi companies opposed to Uber’s expansion, citing concerns about the impacts on their business.

The taxi industry has also criticized ride-hailing services for using potentially unprofessional drivers who may not be as accountable as a reputable cab company’s driver. It has also highlighted labour practice controversies in which some Uber drivers have complained about not earning minimum wage. These criticisms have been refuted by Uber, which insists drivers should be given a choice whether they wish to drive a taxi, a bus, a rideshare vehicle, or another mode of urban transportation.

A report for the PSB found taxi trips fell an estimated 66.3 per cent, or by two-thirds, in the months following the arrival of COVID-19. It also said it had seen evidence inferring operations like that offered by Uber had delayed the recovery of the taxi industry in the Lower Mainland.