Argentina: The Secretariat of Transportation will regulate mobility and delivery apps

What does this mean in practice?

Overall oversight of digital mobility and delivery platforms will fall under the Secretariat of Transport, while the Labor Secretariat will retain certain specific powers.

It will intervene in any potential agreements or collective bargaining arrangements that may emerge within the sector, while the day-to-day regulation of the industry will be handled by the Transport authority.

Changes for App drivers and taxis in Buenos Aires City (CABA)

The Buenos Aires City Government is promoting a reform to modify the current private passenger transport scheme. This will be implemented through decrees, resolutions, and a bill to be sent to the Buenos Aires City Legislature. The reform introduces new obligations for drivers of platforms like Uber, Cabify, and DiDi, while simultaneously eliminating costs and administrative requirements for taxi drivers.

Measures for taxis

The bill presented by the city government includes the following changes:

• Vehicle flexibility: Taxis will be able to operate with larger vehicles (up to 8 seats, including the driver) and M1 vehicles, such as family SUVs, are now permitted. The minimum passenger capacity is reduced to 4 (including the driver); currently, it is 5, which will allow for the use of smaller, more economical cars.

The following requirements will be eliminated for taxis:

• Minimum trunk or cargo space requirements.
• Maximum capacity limits for accessible vehicles.
• The requirement for a public notary to formalize operations (currently, license transfers require a notary, proof of residency, and registration with BA Taxi).
• Mandatory fixed shifts.
• The obligation to use physical identification cards: they may now be digital.
• The requirement for drivers to wear a dress shirt.

Changes for ride-hailing vehicles

• Vehicles must have an up-to-date VTV (technical inspection) and specific insurance created for these applications by the National Superintendence of Insurance (Superintendencia de Seguros de la Nación).
• Drivers must be at least 21 years old and hold a professional driver's license.
• A 90-day compliance period will be granted, and an expedited process will be opened to ensure drivers can obtain these requirements quickly.

The "Taxi System Simplification" bill to be sent to the Legislature will include:

• Elimination of the mandatory BA Taxi registration.
• Elimination of transfer fees, renewal costs, and license transfer fees.
• Elimination of renewal fees for taxi drivers (registrations, cancellations, and other modifications).

A judicial ruling as a precedent for change

At the beginning of last month, the Buenos Aires City Court ruled that ride-hailing app drivers must meet a series of requirements to continue operating in the city. The determination established that drivers for Uber, DiDi, and Cabify must comply with the same requirements as taxis and remises (private car services).

The main changes introduced by the ruling are that drivers must hold a professional license and obtain special insurance to carry out the activity. Additionally, the city government will be unable to continue charging administrative fees to taxi drivers—except in cases of infractions—until an equitable regulatory scheme is in place.

Furthermore, the City administration must initiate tax proceedings to levy taxes on digital platforms and carry out information campaigns to warn users about the risks of using unregulated services, whose drivers may not hold a professional license or insurance coverage, according to the ruling by the City Chamber of Appeals. These resolutions will remain in effect until the City Legislature passes a law specifically regulating platform activity.