Uber says it does not need licence to run Nairobi service

Taxi hailing app company Uber has said it is a technology firm that does not need to apply for local taxi or transportation licences to operate in Nairobi, answering rival cab operators who claim it is circumventing the law.

Uber launched its Nairobi services last week, raising competition for local taxi firms that could see the San Francisco-based firm eat into their business.

The US company provides an online platform to connect riders and taxi drivers within cities. It partners with existing transport operators to provide the services.

READ: Uber taxis set for Nairobi debut with free rides

“Uber doesn’t own or operate vehicles; it has partners who operate on the Uber system. Uber requests that all its partners upload the required documentation to the site.  We have also very recently taken it a step further by adding in an extra level of criminal checks.

“What we know without question is that consumers and drivers are clamouring for more, better transportation options in Nairobi,” said Alastair Curtis, Uber’s international launcher for Africa.

Uber last month suspended its operations in Portland, Oregon, for three months awaiting the revision of governing rules on taxis and the use of ride-sharing apps.

Across Europe, taxi drivers took to the streets alleging that the app company has an unfair advantage as it offered rates lower than regular taxis.

“We have not seen any application from them unless they are planning to bring in one,” said the Nairobi County transport executive Mohammed Abdullahi in response to Business Daily queries.

Uber, however, insists it is a technology platform that partners with existing licensed drivers and operators, and therefore does not need to apply for any local taxi or public service vehicle license.

With recent safety concerns arising in Delhi, Mr Curtis stated that “it was important to understand that behind any regulation surrounding transportation is public safety. We are meeting a clear need for safe and reliable transportation in Nairobi.”

Not disclosing how many drivers and vehicles were connected to the app, Uber said the number was growing and welcomed any driver willing to partner with it to sign up and upload the necessary documents to its portal.

“Drivers love Uber because of the flexibility of the service; they can work whenever they want and are not obliged to work in shifts. This means that they can log on and off when they choose to do so giving them amazing flexibility in their lives,” said Mr Curtis.

Uptake of taxi hailing services has been slow in the country with players like Easy Taxi, who launched last year, still struggling to make a name.