Mexico City first in Latin America to regulate Uber

By Valeria Bigurra Peñavera

The government of Mexico City announced a regulations scheme for transport services using computing platforms, such as Uber, which would include a special permit for its operators, among other things.

The Government of Mexico City recently published the service regulations for the private transport service known as Uber, following demonstrations of discontent led by the city’s taxi driver unions. The regulations will come into force in early August.

Among those provisions is the contribution of 1.5 % of the cost of each trip to the “TAXI, Mobility and Pedestrian Fund”, a trust which appears to have been created specifically for this case and intends to gather resources to improve the city’s taxi service in general.

The funds of this trust would not go to government coffers. In fact, it functions independently and is managed by Technical Committee made up of civil society groups, experts in mobility, taxi drivers and executives from Uber and Cabify, which offers a similar service.

Notably, Mexico City is the first in Latin America to regulate this type of service.

Uber ride

Each car considered to be part of Uber would have to cost at least MX $200,000, and must have air conditioning, seat belts for each passenger, airbags, and insurance covering passengers and the driver, who must be trained and comply with all regulations stipulated in the regulations issued by the Government of Mexico City.

Local taxi driver groups also argued that the company should respect the current payment system, which states that: drivers cannot be paid in cash or prepayment; and the user can only pay through a bank card, either debit or credit, which is previously registered in the application.

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