I’ve written before (and before, and before) in praise of the California Public Utilities Commission. Specifically, their innovative regulatory approach when it comes to ridesharing services like Lyft, Sidecar, and Uber.
But then I read this over at Re/Code:
The California Public Utilities Commission is apparently not a fan of the newest trend in mobile-enabled ride-sharing: Helping two or more people with similar origins and destinations share a car across town.In a letter sent on Thursday to Uber, the CPUC asserted that state law prohibits what are known as “charter-party carriers” from charging fares to individuals, rather than charging a total amount to all passengers.
This is the exact type of regulatory quagmire I’ve previously praised the CPUC for avoiding. While there was no doubt good reason for such a law to be on the books when it was initially considered, enforcing that law on ridesharing companies today makes all the previous work the Commission has done to positively regulate the service look like 80's style moonwalking given the forward-thinking approach the CPUC has taken on this issue up until now. In fact, the CPUC has essentially led the way for other states and municipalities to follow its lead by proposing commonsense rules and guidelines that move the industry forward on behalf of consumers.Hopefully, the CPUC that earned applause from myself and other tech enthusiasts earlier this year will similarly tackle this latest regulatory hurdle facing ridesharing companies in a sensible manner. Technology and consumers move fast; if the CPUC wants to help foster the former and protect the latter, it should keep focused on keeping up.
