Insurance for drivers who work for ride-hailing services like Uber will not be ready until July 1, four months after Edmonton's bylaw comes into effect.
Transportation Minister Brian Mason announced Monday that the province has rejected Uber's request to waive the requirement for drivers to have Class 4 licences, which are required for commercial operators. Drivers will also have to pass a police information check.
"It's our position that people driving vehicles for commercial purposes are not using their vehicles for the same purposes as those with a Class 5 licence," Mason said.
"The bottom line is that the Class 4 requirement is essential for the safety of both passengers and drivers."
The measures announced by Mason put Uber's future in Edmonton in question. New regulations that come into effect on Tuesday require drivers to have provincially-approved insurance. Uber has said it would have to shut down operations if the province didn't approve a policy in time.
Intact Insurance has developed a policy specifically for companies like Uber, who primarily employ part-time drivers, but it needed approval from Alberta's superintendent of insurance.
"We're really hopeful that the province takes the opportunity to approve this product," said Ramit Kar, president of Uber Alberta.
The policy would be purchased by Uber, and would cover all its drivers when they pick up passengers.
Last month, Edmonton legalized Uber, making it the first Canadian city to do so, but drivers for the ride-hailing service need provincially-approved insurance before they can operated in the city starting March 1. (CBC)
Last week, Intact said the superintendent of insurance approved the technical aspects of the policy.But the two hadn't reached a final agreement.
Kar said if approved, all Uber drivers will be covered immediately.
"It's not like there would be any lead time between an announcement and when we would be in compliance," he said.
Uber had also asked that its drivers not be required to get Class 4 licences, which require drivers to pass a written exam and a road test.
Calgary has also approved regulations that would legalize Uber, but Kar said the company has opted not to resume operations.
He described Calgary's $220 annual per-driver licensing fees and relatively stringent requirements for background checks and vehicle inspections as "unworkable" for Uber drivers, particular those who work part-time.
Kar called on Calgary to adopt rules more similar to those approved by Edmonton last month
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