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Cooperation with taxi fleets in Taiwan wants Uber to expand

Taipei - Uber announced this Friday (Nov. 29) that it is expanding cooperation with taxi fleets, car rental companies and the transportation authorities in Taiwan to change its operating model to avoid breaking the law revision called the Uber Clause.

The company's that based in the US has promised in a statement that all known Uber App and functions will be retained while expanding its cooperation with so-called different taxi fleets and car rental operators.

It will also cooperate with the government through applying Uber technology to different transportation services such as yellow cabs, rental cars and assigned drivers.  Uber has said that two days before the Uber Clause infringement penalty that will be issued,  it will start to implement this coming December 1.

In recent years Uber has initiate a major protest and involved the local taxi drivers who have complained about drivers using the ride-hailing app for which they are not licensed.

Uber began working with car rental operators after the protests took place, partly because of attempts to continue operations in Taiwan, but failed to cooperate to cover the controversy.

In the end, the Ministry of Transportation and Communications has decided to change its transportation management policy to prohibit Uber from offering taxi services by business partnerships in the local car rental operators.

Article 103-1 of the Regulations for Automobile Transportation Operators called the Uber Clause was proclaimed June 6 with a deadline for Uber drivers to obtain the necessary driver's license to continue their business under the government's Multi Purpose Taxi Scheme.

The deadline for Uber drivers to complete their license was set for October 6 but it was postponed and change it to December 1. Anyone who violates the policy will be subject to a fine of more than NT$90,000 (US $ 2,949).

In spite of opposition to the proposed law, Uber has promised to adopt a new operating model by working in the taxi industry and serving as a technology platform under the Multi-Purpose Taxi Scheme, which allows measurement of based  in the app, higher pricing and flexibility of the vehicle than the yellow taxis in Taiwan.

According to data gathered from the Uber driver self help association there were nearly 12,000 Uber drivers in Taiwan before the Uber Clause became effective.

About 1,000 drivers are unwilling to work under the Multi Purpose Taxi Scheme, so around 7,000 to 8,000 drivers obtain the necessary taxi permits for them to operate.

According to Uber, about 4,000 to 5,000 drivers have not yet to receive their license due to slow vehicle office operations.  This is also why Uber drivers have not yet to start offering their services.


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