The Constitutional Court has annulled the Balearic regulation that required ride-hailing companies (VTC) to enforce a minimum pre-booking time of 30 minutes. This decision marks a new turn in the regulatory battle between public administrations and the sector’s companies, and it could have a significant impact on mobility and the transport market in the region.

A legal conflict comes to an end

The origin of the controversy dates back to the Sustainable Mobility Law of the Balearic Islands, which aimed to protect the taxi industry and regulate VTC activities by imposing a minimum 30-minute delay between booking and service initiation. However, the main companies in the VTC sector, along with transport associations, challenged this regulation, arguing that it limited their operational capacity and violated the freedom to conduct business.

Ultimately, the Constitutional Court ruled in favor of the VTC companies, declaring that the 30-minute pre-booking requirement infringed essential principles of free competition and disproportionately affected the provision of services. In its ruling, the Court emphasized that, although regional governments have the authority to regulate transportation, these regulations should not restrict fundamental rights or be disproportionate to the objectives they aim to achieve.

vtc baleares constitucional 30 minutos

This decision could bring significant changes to the transportation landscape in the Balearic Islands, where the taxi sector has long advocated for stricter regulations to curb the expansion of VTC services. In this context, the annulment of the Balearic regulation strengthens the position of VTC companies, allowing them to operate more freely in the islands without time restrictions that, according to their advocates, hindered efficiency.

Taxi drivers warn of unfair competition

Meanwhile, the taxi sector has expressed concerns about what they perceive as a direct threat to their livelihood. Taxi associations argue that VTC services, operating under more lenient regulations, may constitute unfair competition, harming taxi professionals who must comply with stricter rules.

The Constitutional Court’s ruling does not mark the end of the debate over VTC regulation in the Balearic Islands. Although the 30-minute pre-booking requirement has been annulled, it is likely that the Balearic government will seek new ways to ensure a balanced coexistence between taxis and VTCs. Additionally, taxi associations have already announced that they will continue to advocate for regulations that protect them from what they consider unfair competition.