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Committee approves bill to allow Uber and Lyft in Israel

A committee of Israeli ministers approved on Sunday a law allowing shared ride hailing services like Uber and Lyft in Israel to operate in an effort to reduce taxi fares.

The Transportation Ministry has proposed a reform that would allow "technology-based transport operators" to use models used successfully globally. However, this law still requires full approval from the Parliament.

The Ministry noted that the Shared Transport Law, approved by the "Ministerial Committee for Legislation", would allow companies like Uber and Lyft to offer services via smart apps that connect private drivers and passengers.

It was said that the move would increase transportation availability, especially during weekends and peak hours, as well as lower fares.

The statement added that these?services are available in dozens of countries around the globe "and it is now time for them to be available in Israel."

The law contains strict safety regulations, driver screenings, insurance coverage, and oversight of vehicle condition, as well as a mechanism to support the existing taxi industry?to ensure an equitable transition.

Uber operated briefly in Israel, but only as a taxi service. It was shut down in 2023. Uber and other similar companies are not welcome in Israel.

The new law is "a historic step" that will demolish outdated monopolies and create thousands of jobs. It will also open the market up to true competition, which benefits the public, said Transport Minister Miri Regev.

She noted that the reform of shared rides would reduce traffic, remove private cars, and give citizens the ability to travel easily at a reasonable price. (Reporting and editing by Steven Scheer)

(source: Reuters)