Uber has suspended operations in Edmonton as of Tuesday 6am, as the provincial government implemented a law requiring ride-sharing service drivers to have insurance tailored specifically for them. Although relevant insurance products are available, they have not yet been authorized by the local government, with some suggestion the delay may roll back to July.
"The province has cost thousands of Edmonton families a source of income by forcing Uber to suspend operations in the city," Ramit Kar, Uber’s general manager for Alberta, said in a statement.
Previously, Kar
announced that the ride-sharing company would discontinue service if the government did not approve the insurance products before the law came into effect.
In response to suggestions that the council will not be in a position to approve insurance until July, Kar responded via Twitter: “We learned of this timeline only today & feel a path forward can be found sooner by working together.”
In a second blow, Brian Mason, Alberta’s transportation minister, also announced that the province will be rejecting Uber’s request to waive the requirement of Class 4 licences for Uber operators. Class 4 licences are required to operate commercial vehicles, such as taxis. The province also requires all drivers to undergo a police information check.
The new regulations apply only within the Edmonton city proper, so Uber will still be operating in surrounding areas. However, Uber has declined to resume operations in Calgary due to requirements they deem too strict, such as having a Class 4 driver's licence, a C$220-a-year operating permit from the city, periodic inspections, proof of eligibility to work in Canada, and a police background check.
