In a 6-3 vote, the Honolulu City Council approved a bill that cap surge pricing by ride-hailing companies such as Uber and Lyft, Reuters reports.
Ride-hailing companies implement surge pricing when demand for rides hits a certain level, raising fare prices until demand decreases. Honolulu’s Department of Customer Service said that it opposes the measure, since ride-hailing customer’s see how much they will be charged before requesting a ride, which is not the case with taxis.
Officials from Uber said in a statement that the bill is “a solution in search of a problem, as we’ve been told the City hasn’t received a single consumer complaint about our dynamic pricing model.”
The bill still needs the signature of Mayor Kirk Caldwell, whose administration appears to oppose it. However, if signed, it would be the first bill to put a cap on surge pricing in the United States.
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