SAO PAULO (Reuters) – New rules restricting drivers of out-of-town vehicles from working with ride-hailing services in São Paulo came under fire from technology and rental car executives on Thursday, who threatened to legally challenge the decision in Brazil’s biggest city.
São Paulo Mayor João Doria, whose name has been increasingly floated as a possible candidate in the 2018 presidential race, unveiled the rules last week as part of a plan to regulate ride-sharing services such as Uber and local rival 99.
Move - Implications - Drivers - São - Paulo
The move has serious implications for drivers from the São Paulo suburbs, along with the rental agencies such as Localiza Rent a Car SA , much of whose fleet is registered at its headquarters in the state of Minas Gerais.
“We have seen the city kind of taken over by cars … using São Paulo roads and paying taxes somewhere else,” said São Paulo Transportation Secretary Sergio Avelleda, defending the measure to journalists on Thursday.
Car - Companies
Rental car companies disagreed.
The head of policy and communication for 99, Matheus Moraes, said the demand to register and pay local property taxes on cars was redundant for the company’s drivers, who already contribute a road usage fee per mile for...
Wake Up To Breaking News!