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Uber CEO says Vancouver has ‘rules that need to bend’

The CEO of Uber says his ride-sharing service isn’t looking to break any rules when it returns to Vancouver one day. But that doesn’t mean some rules can’t be bent. Travis Kalanick laid out a hypothetical pitch to the B.C.
Uber CEO Travis Kalanick
Uber CEO Travis Kalanick (left) took part in panel Monday moderated by Launch Academy CEO Ray Walia (right) and She Talks co-founder Barinder Rasode. Photo Dan Toulgoet

The CEO of Uber says his ride-sharing service isn’t looking to break any rules when it returns to Vancouver one day.

But that doesn’t mean some rules can’t be bent.

Travis Kalanick laid out a hypothetical pitch to the B.C. government while speaking at a fireside chat Monday (Feb. 15) at the Launch Academy incubator in downtown Vancouver.

“If you want to create jobs, if you don’t like traffic, if you don’t like drunk driving, if you don’t like pollution, then I think Uber’s a good solution for Vancouver,” the CEO told the crowd of about 150 tech workers attending a panel moderated by Launch Academy CEO Ray Walia and She Talks co-founder Barinder Rasode.

He said the taxi industry across different jurisdictions represents a “monopolistic, regulated cartel” that takes advantage of both consumers and drivers.

“Systems that prevent competition and prevent progress have to be changed,” he said. “There are new rules that need to bend towards progress for the people and I believe that eventually Vancouver will make that move.”

But the San Francisco-based tech startup’s efforts to launch a ride-sharing service in Vancouver have been stymied by the city and the province.

Uber operated in Vancouver briefly in 2012, allowing consumers to use its mobile app to order rides from private drivers.

It soon pulled out of the city once the B.C. government’s Passenger Transportation Branch determined the company was operating as a limo service and was required to fall in line with regulations covering that industry, such as charging a minimum of $75 per ride.

In 2014, Vancouver’s cab companies launched a lawsuit seeking an injunction against Uber to prevent it from returning to and operating within city limits.

Uber has also been plagued by controversies abroad, including allegations a male driver raped a female passenger in India last year. And in 2013, an Uber driver ran over a six-year-old girl, killing her on New Year's Eve.

Kalanick, who declined to take questions from the media, told the crowd that whatever bad press the company has faced doesn’t reflect what people in society think about the service.

“It’s surprising to us. We thought there’d be a lot of issues. There just hasn’t been,” he said. Kalanick’s statements about the potential for his company to re-enter the market in B.C. echoed those made by Uber’s chief adviser, David Plouffe, when he spoke to the Vancouver Board of Trade last September.

“We’re eager to engage with local government, provincial government to find a way forward so that we can bring rideshare here,” said Plouffe, who was previously a senior adviser to U.S. President Barack Obama.

Last month, B.C. Transportation Minister Todd Stone told reporters it’s only a matter of time before ride-sharing services like Uber settle into B.C. and operate side-by-side with taxi companies.

No timelines are in place for Uber to return to Vancouver but Stone met with representatives from the taxi industry last week to discuss the entry of ride-sharing services into B.C.

Kalanick said during the fireside chat that he doesn’t believe taxi drivers are bad people but that they are treated badly by the industry they work in due to the high prices of taxi licences.

“It not only screws over choice for the consumer but it also screws over choice for the driver,” he said, adding the introduction of Uber would create “tens of thousands of jobs in the city inside of 18 months.”

Following Plouffe’s speech at the Board of Trade, Vancouver city Coun. Geoff Meggs said he was skeptical of some of Uber’s claims.

“I’m not certain we’re seeing quality jobs generated here. We’re talking about work-sharing as well as ridesharing,” said Meggs, who did not immediately respond to Business In Vancouver following Kalanick’s fireside chat.

“By the same token, I don’t think people are saying I hope my kid becomes a very successful taxi driver. We hear talk about a taxi monopoly but I don’t think taxi-driving’s an easy or simple way to make a living.”

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