Local taxi operators are taking differing views on whether ride sharing will make an impact in Prince George in the wake of the provincial government's announcement the service will be allowed in B.C. should the Liberals win the next election.
Prince George Taxi manager Sam Kuuluvainen is taking a wait-and-see attitude but on balance doubts outfits like Uber or Lyft will make a splash, at least in the short term.
"I'd actually be quite surprised if they're here by December like they said they're going to be in the Lower Mainland," Kuuluvainen said.
In addition to Vancouver, he suspects they will first try to make inroads into Victoria and Kamloops before turning their eye towards smaller markets.
Emerald Taxi owner Balraj Bhangoo is less optimistic.
"There will be an impact here, there will be an impact all over," Bhangoo said.
He also suggested both ride share drivers and patrons will come away disappointed. While in Phoenix, Arizona, Bhangoo said he tried Uber to get a sense of what it's about.
"I called the same guy for two days but because it was a short trip, on the third day he said 'you can call the cab the next time,'" Bhangoo said. "They're looking for $50-$60 trips. In Prince George, maximum trip is $30 to and from the airport."
Asked why residents should use the taxis, Bhangoo said they will get superior service. A cab driver has a chauffeur's licence, he noted, although the requirement for the licence will be phased out under the government's plan.
"It's only an app," Bhangoo said of the ride sharing companies. "Whoever works for them, they get their 30 per cent."
Among the steps the provincial government said it will take to level the playing field is to pour up to $1 million into developing an app to hail and pay for a taxi with a smartphone in the same way that they would for a ride-sharing service.
But Kuuluvainen said Prince George Taxi already has the technology.
"We have our own app and we also have another app which is more universal," Kuuluvainen said. "It's all over Vancouver area, it's in Toronto, it's in the U.S. If someone were to open it up in Prince George it would definitely work the same way it does in the other places.
"And we do about three per cent of our business off the app, so the idea that they're putting $1 million into the app is not going to help us at all."
A major concern for both Kuuluvainen and Bhangoo is the cost of insurance which currently runs at about $12,000 per year per taxi. A per-kilometre option is being considered which the provincial government said could reduce the cost by as much as 25 per cent. Exact rates are subject to B.C. Utilities Commission approval.
"Ultimately, we want a product which is fair and equitable for both industry and customers," Insurance Corporation of British Columbia spokesman Lindsay Olsen said in an email. "We'll base it on the same principles - pricing appropriately depending on experience and risk - we use for our existing customers and insurance products."
