Regulations to be established in the online taxi service sector

The Competition Protection Commission is working on establishing regulations in the online taxi service sector. This was announced by the Chairman of the Commission, Gegham Gevorgyan.

Gevorgyan noted that it is planned to develop a guideline that will set several important points: the maximum margin of the online platform operator, the allowable change in the price factor based on supply and demand, and a clear mechanism for the distribution of revenues among the platform, the intermediary, and the taxi driver.

“Currently, the margin gained by online platforms is 13-15 percent, the intermediary's share is 5 percent, while the rest goes to the drivers,” Gevorgyan said.

According to the Chairman of the Commission, it is planned to give consumers the opportunity to see the final price, details of any price changes, the type or category of the vehicle used, and reasons for price changes, such as weather conditions or increased transport demand during special events.

“This means that 300,000 people will be able to easily know from their homes to their workplaces, that the same route they take every day at different times could vary no more than twice the most competitive rate,” he concluded.