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Taxi industry urges Leipzig to take action: Uber rides need to become more expensive again!
The Saxon taxi industry is hoping for a swift return to minimum tariffs for Uber and other rental car providers in Leipzig. Only then could fair competition take place, said the chairman of the State Association of Saxon Taxi and Rental Car Companies, Jan Kepper. For a short time, such tariffs were in effect in the city, but a corresponding general ruling was lifted after a legal dispute. He assumes that it will be reactivated soon, said Kepper.
Leipzig: We are sticking to the chosen path
The city announced that, in general, it will stay on the chosen path: instruments from the Passenger Transport Act will continue to be used. These also include minimum fees - which are of particular importance according to a spokesman. However, he did not want to comment on the current case. Recently, Heidelberg became the only major city in Germany to have such minimum tariffs. Prices for rides with rental cars may not be more than 7.5 percent below the fees set for taxi drivers, as confirmed by a city spokesman. Previously, Uber rides were about 35 percent cheaper.
"The order is necessary to prevent dumping prices in the rental car traffic—regardless of whether platform-based or not," said Keppler.
Uber predictably criticized the decision.
"Of course, this is a black day for consumers," said a spokesperson. People with low incomes, in particular, would no longer be able to afford rides, it said in a statement.
Demand: Set minimum fees preventively
In Dresden or Chemnitz, to his knowledge, there are currently no plans like in Leipzig or Heidelberg, Keppler further said.
"This is due to the fact that competitors are not yet in place there."
In Leipzig, the presence of Uber has already created "certain disadvantages" for the taxi industry. In general, he advocated for setting such minimum fees preemptively. The taxi industry is subject to far more legal obligations than hire car services. This also makes a taxi ride more expensive.
"The competition cannot be won over price. This leads to the fact that taxi services will eventually no longer take place," said Kepper.
Therefore, it must be prevented in advance that large companies destroy local markets and eventually hold monopolistic positions:
"If the price is only oriented around supply and demand, then during peak times you pay tenfold," he warned.
BVTM hopes for imitator cities
The Federal Association of Taxi and Car Rental (BVTM) points to more than 20 major cities that reportedly have similar problems with "dumping transport services."
"We urgently call on all affected cities in Germany to follow Heidelberg's example," said Managing Director Michael Oppermann. "We need minimum prices because only in fair competition can we assert ourselves."
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