The Free Market Approach
Over the past year Airdrie has experienced a jump in the number of licensed taxi companies. At last review the city had 29 licensed taxi operators with many operators employing multiple vehicles. Why the jump? Airdrie continues to be one of the fastest growing cities in Canada averaging 8.3% annual growth over the past 5 years (last year we welcome 11 new residents a day). The city is also minutes away from one of Alberta's largest and newest enclosed shopping centres - the new Cross Iron Mills mall in neighboring Balzac. However, the most significant factor in the industry's growth has been the free-market approach adopted by the city.
Airdrie has been relatively regulation-free for taxi companies. Unlike markets governed by a taxi commission, the city imposes no limit on the number of taxi licenses approved. There are no plate or numbering systems, nor are vehicles required to operate with a taximeter. The single municipal requirement for taxis companies is a valid business license.
These regulations will be changing in 2010, as City Council will be reviewing the new Taxi Bylaw during the first regular council meeting scheduled in December (Dec. 7th, 2009 at 7pm). A number of changes to the industry are proposed including new requirements for licensing and certification of drivers and vehicles and a new fee structure. There will be no cap on the number of taxi licenses nor will there be a grandfather clause for existing companies. All taxi companies operating within the city will be required to satisfy the new requirements once approved by City Council.
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