Córdoba regulates transportation apps: one by one, the requirements that were imposed

In Córdoba, the City Council approved the regulation of transportation apps such as Uber, Didi, and Cabify.The measure eliminates the license quota, but in exchange imposes an extensive list of requirements to operate. Drivers and companies warn that the conditions will limit free entry into the market.

The regulation establishes that the service may only be provided through authorized electronic platforms. Each actor in the system must go through multiple municipal and provincial registrations, certifications, and controls. The ruling party justified the scheme as a way to "organize" the activity.

The debate concluded with 28 votes in favor, in a session marked by tension between modernization and regulatory excess. From the private sector, they argue that bureaucracy will make the incorporation of new drivers more expensive and slower.

Companies: multiple registrations and mandatory insurance

Companies must register with agencies such as ARCA, Rentas, and Commerce and Industry, in addition to registering with corporate oversight. They must also submit articles of incorporation, appointment of authorities, and a legal address in the city. Specific insurance regulated by the National Insurance Superintendency is required.

Compliance with each procedure will be essential before starting operations. Otherwise, the activity will be considered illegal and sanctioned.  This means that the entry of new actors into the market will be subject to official timelines and authorizations.

For many sector leaders, this point represents a barrier to entry that discourages entrepreneurship and open competition. "The market is open, but with a lock," they warned.

Vehicles and drivers: technical requirements and background checks

Vehicle owners  must be registered in the Municipal Digital Registry and present clean records. The  vehicle must be registered in Córdoba and have insurance for passengers and luggage. In addition, digital images will be required and, if requested, a physical inspection.

Vehicles may not be more than ten years old, must have an engine of at least 1,000 cm³, and must have air conditioning. A trunk with minimum capacity for two medium suitcases and visible service identification will also be mandatory.

Drivers  must have a professional class D1 license and ART or personal accident insurance. They may not appear in records of convictions for crimes against sexual integrity. For many, these conditions are necessary, but their accumulation raises the barrier for new drivers.

Regulated fares and severe penalties

The pricing system will combine a mandatory minimum fare —not lower than the urban transport ticket— with a dynamic value reported to the user. This limits the possibility for the market to adjust prices completely freely.

Fines for non-compliance with the regulation will range from 240 UEM for drivers to 2,000 UEM for companies. In addition, disqualification for two years or permanently is foreseen, depending on the severity of the infraction.

Although "Rental Cars with Driver" are allowed to join the platforms, the regulation doesn't reduce the burden of requirements. According to specialists, the scheme benefits those already in the system and makes it more difficult for new competitors to join.