Uber granted conditional authority to operate for two years in Pennsylvania

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Stephanie Novak

Justine Coyne

Reporter- Pittsburgh Business Times

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The Pennsylvania Public Utility Commission granted authority to Uber Technologies Inc. to legally operate in Allegheny County and throughout the state given the ride share company meets certain conditions.

PUC Chairman Robert Powelson said transportation network companies like Uber are doing much more than transforming dispatch methods, but this innovation needs to be encouraged in a way that is consistent with the PUC's mission.

Uber has been granted the authority to operate in the state for a two-year period under an experimental license if the company complies with a number of requirements. The company has 30 days. If it rejects the PUC's conditions the Uber will no longer be authorized to operate in the state, according to Powelson.

Conditions include providing trip data previously requested by the commission and agreeing to abide by automobile safety standards, among others.

The motion was passed 4-1, with PUC Vice Chairman John Coleman Jr. providing the dissenting vote. He said given Uber's history of noncompliance, he is skeptical the company will meet the requirements set out by the PUC.

"I do not believe Uber will take the necessary steps until it is forced to as a result of legislative action," he said.

Commissioner James Cawley said he was persuaded reluctantly to approve the motion.

"Innovation alone is no excuse for ignoring the law any more than a new and innovative way to rob banks should be encouraged," he said. "This applicant doesn't seem to understand that and in fact, has a business plan that is in violation of the law."

Cawley said this will be Uber's last chance to comply or the next step will be to issue a cease-and-desist order against the company and take the issue to Commonwealth Court.

Justine Coyne covers manufacturing and higher education.