A new mobile app called “inDriver” is causing concern for the heavily regulated and protected taxi sector in Managua. The inDriver app for Managua is an alternative taxi service claiming to operate in “more than 300 cities in 31 countries around the world”. They offer savings on urban, intercity and shared trips.
The app also encourages owner/drivers to sign up and earn extra money. Their incentive is “My taxi, without hours and without bosses”. They promote working for this GPS driven system where the owner/operator can pick and choose the trips that interest them.
However, the National Police have been involved in pursuing drivers registered on the inDriver app for Managua. Drivers who offer transport services in and around the nations capital and who are often referred to as “piratas”, meaning they are illegal taxis.
In some cases, the drivers have been fined and their vehicle taken to the public pound operated by the Transport Regulatory Institute of the Municipality of Managua known by its acronym in Spanish as IRTRAMMA.
The penalties for those caught by the authorities can be costly. The fine and release from the IRTRAMMA operated pound can be up to 7,600 Córdobas. In addition, it can cost 60 Córdobas per day for storage. This can add up, especially for those needing to obtain documents and other legalization prior to collecting their vehicle.
Previously, the National Police have made it clear in public statements that these applications are offering what is essentially a taxi service. They say they can only do so by using existing taxi services. These services need to be formally registered with IRTRAMMA and operate under Law 524, the General Transportation Law and its regulations, penalties, fines and sanctions. In short, only vehicles or persons authorized to provide a passenger service can do so.
Some may recall the attempt(s) by UBER (arguably the most famous of these apps) to enter the market in Nicaragua since 2017 but each time have been shut down on all avenues.
Smaller players such as “Aventón” and “Ray” were a bit smarter in their approach, They decided to “marry the competition”, working only with taxi cooperatives and their drivers. In addition, both Aventón and Ray are Nicaraguan companies with offices in Managua.
Costa Rica Solution
Meanwhile in Costa Rica, inDriver have been named in a formal complaint (along with DiDi and UBER) by the Public Transport Council (Consejo de Transporte Público or CTP). The claim is that as private transport companies, they are operating in Costa Rica without following the law and regulations.
The CTP recently announced their soon to be launched mobile application Batsë for their almost 12,000 members as an answer to UBER, In Driver and Didi.
