Beijing’s traffic is worsening, and authorities are placing the blame on ride-on-demand services, according to the results of a meeting between eight municipal government bodies as well as Didi Kuaidi and Uber Technologies last Thursday, July 23.
Aside from aiding traffic congestion in the city, Didi Kuaidi and Uber are also accused by the governmental bodies of using unapproved advertising, evading taxes, and running illegal passenger transportation services.
Didi Kuaidi and Uber are not new to such allegations. They have been invited numerous times in meetings with local regulators to discuss suspected violations. The frequency of these encounters, however, highlight the uncertainties that surround ride-on-demand services by Internet companies and the effects they have brought to public transportation, not to mention the apparent tolerance of authorities on such matters.
Statements issued by both companies were included in a government press release, saying that they will address issues raised by authorities and continue to operate their business according to law and regulation.
The Beijing Municipal Commission of Transport, on the other hand, said in an official statement that Beijing's public transportation development plan is the main priority, and that taxis should only serve as supplements since they take up more space on the road than regular cars.
The commission went on to state that despite meeting the transportation needs of the general public in Beijing, ride-on-demand services have indeed contributed to the worsening traffic congestion in the city. Drivers and vehicles used in such services also do not meet the qualifications and are not regulated properly.
A reform plan is currently being worked on by the commission to improve taxi services and identify illegal services in the city.
Beijing's crackdown on ride-on-demand services has punished over 1,200 Didi Kuaidi-operated vehicles and 170 cars under Uber this year.