Calgary councillor wants city to look into capping number of Uber, Lyft drivers
A Calgary city councillor wants the city to consider capping the allowable number of Uber and Lyft drivers, in another bid to help level the playing field between taxi companies and ride-share operators.
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Ward 5 Coun. Raj Dhaliwal's notice of motion directs administration to evaluate the feasibility, benefits, risks and resource implications of creating a population-based limit on ride-share drivers, 'to manage future growth' of the growing vehicle-for-hire sector.
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His proposal unanimously passed a technical review at Tuesday's executive committee meeting and will advance to the May 27 council meeting to be debated and voted on.
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Dhaliwal argued that his motion doesn't just aim to support local cab companies, but also Calgarians who drive for Uber and Lyft, some of whom he argues are being exploited.
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'I've been hearing from both sides that with the supply in the market right now for licenses, it's hard to make a decent living,' he said. 'People sometimes work extended hours and they're still bringing home less than minimum wage. Many are leaving the industry because they can't sustain their household, pay mortgages or insurance.'
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The city regulates taxis and ride-share companies through the vehicle-for-hire bylaw, which was previously known as the livery transport bylaw. The bylaw was last amended in January and has been overhauled multiple times since ride-hailing apps first arrived in Calgary in 2016.
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Under the bylaw, the city licenses transportation network companies, which in Calgary include Uber and Lyft, on an open-entry, unlimited basis, according to Dhaliwal. City records show there were more than 16,581 active drivers for Uber and Lyft in Calgary last year — approximately one for every 80 residents.
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But he noted the same bylaw sets a fixed number of taxi plate licenses, which is currently capped at 1,880.
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The growing disparity has undercut taxi companies' competitiveness, Dhaliwal argued, allowing Uber and Lyft's influence to proliferate. Calgary's ride-share drivers now outnumber taxi drivers nine to one.
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'Of course there's distortion in the market,' he said.
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A staff report last December highlighted that annual trip volumes for ride-hailing apps continue to increase and have significantly eclipsed the number of trips recorded by taxis in Calgary since 2021.
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Uber and Lyft recorded roughly 11.6 million trips in 2024, compared to just 2.8 million licensed taxi trips. Ride-hailing apps now control 80 per cent of the city's vehicle-for-hire market, compared to roughly 50 per cent in 2019 and 2020.
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