HONOLULU — Honolulu’s mayor has vetoed a bill aimed at setting limits for what ride-hailing services such as Uber and Lyft can charge during peak demand.
HONOLULU — Honolulu’s mayor has vetoed a bill aimed at setting limits for what ride-hailing services such as Uber and Lyft can charge during peak demand.
Mayor Kirk Caldwell said Tuesday he wants to see new technology blend with old.
The bill sought to prevent “surge pricing” rates getting higher than the maximum fare set by the city.
Taxi companies say Uber and Lyft face fewer restrictions. Those who oppose the bill say ride-hailing app users know prices upfront and can choose whether to accept them.
Caldwell directed city attorneys to draft a bill that would allow transportation companies flexibility as long as there’s disclosure about pricing.
Uber says in a statement the veto protects consumer choice.
Councilmembers could override the veto.
A rare win for economic common sense in this state. Laws can not mandate that more people need rides at peak times like say New Year’s, nor that fewer drivers wish to drive during those times. But the invisible hand of free market pricing can help lead to more drivers voluntarily choosing to work, and more riders choosing to stay home or find another way. A law limiting this mechanism would just leave people with long waits for a ride or no ride at all.