Ottawa’s “supply management” system for Taxis
Before amalgamation, the former municipalities of Ottawa, Cumberland, Gloucester, Kanata, Nepean and Vanier all regulated taxis. The former City of Ottawa had a fixed number of plates based on population. In 1969, the old City of Ottawa assumed control of regulation of the taxi industry from the police commission. In doing so, it enacted By-law L-1 and introduced a limit on the number of taxi plates that may operate. In 1971, the old City of Ottawa enacted By-law L-6, which authorized the transfer and selling of plates as commercial transactions.
Other municipalities, like the City of Vanier, did not limit the number of plates. Yet other municipalities did not regulate the industry at all.
The municipalities that had no plate limits experienced problems with the oversupply of plates. For example, Vanier introduced plate limits in the mid-1990s because the over-supply of plates was problematic.
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