Saint Petersburg Taxi Ban on Migrants Expected to Affect Few Drivers

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Preview Saint Petersburg Taxi Ban on Migrants Expected to Affect Few Drivers

According to experts, the new decree from the Governor of Saint Petersburg, which restricts migrant access to taxi services, is expected to have a minimal impact on the majority of drivers. Specialists note that the document does not apply to citizens of Eurasian Economic Union countries and will only be in effect until the end of the current year, affecting only those who work under patents.

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Participants in the taxi market express skepticism about the effectiveness of the new decree by the Governor of Saint Petersburg. They believe that despite widespread media coverage, the real impact on the local taxi industry will be negligible. The document contains several important conditions, and the St. Petersburg taxi market itself has its own unique characteristics.

According to the Smolny`s directive, foreign citizens are prohibited from working as taxi drivers. However, this rule will only come into effect in three months, allowing taxi companies time to complete existing contracts. Furthermore, the ban applies exclusively to migrants operating under work patents and is valid only until the end of the current year, after which its extension will be considered. Dmitry Popov, an expert of the government`s working group on road safety legislation, calls this `a softer version` of the originally proposed project:

Dmitry Popov, Expert of the Government Working Group on Road Safety Legislation: «A stricter version of this regulatory act was considered, which would have included not only taxi drivers but also bicycle couriers. In reality, there are not many non-Russian citizens working in the taxi sector. Most have either undergone the naturalization process or are already Russian citizens. I believe this measure will not have a significant impact on the market in terms of price changes or a mass exodus of workers. Rather, questions arise not about the number of migrants behind the wheel of taxis, but about how they obtain national driving licenses without understanding a word of Russian.»

Thus, the restriction introduced by Governor Beglov will not affect citizens of countries within the Eurasian Economic Union with Russia: Belarus, Armenia, Kazakhstan, and Kyrgyzstan. This is because citizens from these countries do not require patents for work. The ban applies to citizens of Azerbaijan, Tajikistan, Uzbekistan, Moldova, and other countries. Stanislav Shvagerus, Head of the Competence Center of the International Eurasian Taxi Forum, notes that a similar ban already applied to migrants from non-EAEU countries without Russian driving licenses:

Stanislav Shvagerus, Head of the Competence Center of the International Eurasian Taxi Forum: «Less than one percent of migrants work in passenger taxis. The majority of migrants are employed in construction and services. This, by the way, highlights the ineffectiveness of such bans, as they poorly correlate with the taxi admission system. Simply put, these patents are often not required or checked in passenger taxis. This type of regulation effectively works only in Moscow with its KIS «ART» system and digital driver profile, but St. Petersburg lacks such a system, making it impossible to track every driver. It is also correctly noted that this ban does not extend to the Eurasian space, and for other migrants without Russian licenses, working in taxis was already prohibited by current legislation.»

Governor Beglov stated that the decree would improve the quality and safety of taxi services and create new jobs for Russians. However, Yuri Veikov, Chairman of the Non-Profit Partnership of St. Petersburg Taxi Enterprises, expresses serious doubts, suggesting that the ban could lead to the opposite effect:

Yuri Veikov, Chairman of the Non-Profit Partnership of St. Petersburg Taxi Enterprises: «The key question is how the control system will be organized. I don`t think that foreign citizens who will be unable to work under the new law will leave the taxi market. Most likely, we will see an increase in the illegal sector. Foreigners often get jobs through various intermediary firms, so-called `connectors,` and the number of such intermediaries will only grow. Those foreigners who remain in taxis but cannot work officially will be forced to pay more to intermediaries. Consequently, they will work more and earn less. Naturally, this will lead to a decrease in safety, as they will have less time to rest.»

Given the stipulated preparatory period, the Smolny`s restriction on migrants in taxis is introduced for only two months, with the possibility of revoking all changes if necessary. Experts interviewed by Business FM believe that since the ban will apparently affect only a handful of drivers, its extension will not cause significant problems.