Podcast in English
Text size
Bulgarian National Radio © 2024 All Rights Reserved

Uber - something new, gray and shared

Photo: Gallery

The app-based network for taxi services called Uber that connects drivers to passengers looking for a cheaper service is already present on the Bulgarian market. However, only the UberX service is available in the capital city of Sofia. Spokesperson of the company Paul Fogget brings us more (full interview is contained in the audio file).

Paul Fogget further adds that the driver and passengers share the ride and costs by connecting over the Internet. The application allows also the payment of transport services online with a debit or credit card. In this sense, "sharing" becomes more of a marketing gimmick: the driver and owner of the car is actually a provider of a service and the passenger is a customer. The mobile application allows customers to provide feedback on the quality of service; know its price in advance and can share the planned route with friends for security reasons.

There is a detail, however: in Bulgaria taxis are regulated by the Automobile Administration Agency and the municipal authorities. The agency has reported that Uber is not registered. Spokesperson of the company Paul Fogget says that Uber requires drivers to have all necessary documents by law, but the company would not register as a transport company as its business is software. 

This way Uber is stripped of the responsibility to register as a transport company and if Uber drivers were caught by the police they could be fined while the vehicle will be stopped for a period of 6 months. The illegal transport service does not provide protection to passengers in case of an accident. However, the company makes profits from the service. It is also not clear how the National Revenue Agency would be able to keep track of the revenues of Uber. Thus Uber resembles well-known models of the gray economy in the country, but has a better design.

The Uber app was launched in the US about 5-6 years ago and these days its services are available in many parts of the world. In some countries like India, the company has registered its activities, while in others it has not done so.

In most European countries Uber has not been registered as a carrier and pays only part of the taxes, which allows it to offer lower prices. To this date, the Uber services have been banned in some EU countries like France and Austria. In India and the United States a few cases of sexual abuse by drivers against clients have made the headlines of the news.

The Uber business model works successfully where taxi fares are high and there is also a great demand for services. Currently in Bulgaria the fares of Uber and those of the regular taxis do not differ much, while stagnation is felt on the market.

English: Alexander Markov




Последвайте ни и в Google News Showcase, за да научите най-важното от деня!
Listen to the daily news from Bulgaria presented in "Bulgaria Today" podcast, available in Spotify.

More from category

Prof. Bettany Hughes

Prof. Bettany Hughes: Bulgaria is a very special place

At the Bulgarian Embassy in London, Prof. Bettany Hughes presented excerpts from the new BBC series - Wonders of Bulgaria. Prof. Bettany Hughes is the author of two episodes of the documentary. Hughes is a historian, writer, author of..

published on 11/29/24 1:40 PM

Cardiovascular conditions are the main cause of death in Bulgaria

According to the Annual Report on the Health Status of Bulgarian Citizens for 2023, t he main cause of death in Bulgaria is diseases of the cardiovascular system (61.1%), followed by oncological diseases (16.5%) and diseases of the respiratory system..

published on 11/28/24 1:57 PM

WWF Bulgaria draws attention to bear conservation

In the week of St. Andrew’s Day (also known as Bears’ Day or Mechkinden), WWF is drawing attention to six orphaned bear cubs who have been given a second chance at life.  The initiative is part of the "Subscribe to Nature" campaign and..

published on 11/27/24 11:28 AM