The Portuguese business fabric is showing signs of recovery compared to the pre-pandemic period, at least in terms of business creation. According to Informa D&B data, 40,529 new businesses were registered between January and October, up 16% from the same period in 2021, but still 4% below 2020 figures. The consultant’s research points to “highly significant growth in the transport sector (+123%), with the subsector of occasional passenger transport in light vehicles accounting for 74.7% of the 3503 new statutes.
Activities included in CAE 49320 include services provided by taxicabs, tourist entertainment, and TVDE operators. However, this reality gives a bittersweet taste to the Associação Nacional Movimento TVDE (ANM-TVDE), which looks with concern at the existence of more entrepreneurs. “We are concerned about this growth because the sector must be sustainable,” Victor Soares told Dinheiro Vivo. The president of the general assembly attributes part of the increase to tourism companies that, after the pandemic crash and the temporary reduction in tourist flow, began to enter the form of passenger transport and “apply for a TVDE permit” at the Institute for Mobility and Transportation (IMT).
“Duplication” of travel
Nuno Inácio, responsible for greeting driving of Bolt in Portugal, the post-pandemic brought “recovery of activity” with great speed in applications such as Bolt. “Currently, we are seeing a growth in the number of drivers working on our platform of around 30% compared to the pre-pandemic period,” he reveals. In fact, compared to the end of 2019, the company even records “a doubling of the number of journeys”. Although he does not promote values, Bruno Borges, general manager from FreeNow also confirms that “demand has grown tremendously” and that this has “made this sector even more attractive for investment”.
For the ANM-TVDE, the problem lies in the way the company is growing and the lack of mechanisms to balance supply and demand in this market. “At the moment, since the platforms don’t give information about the need for new vehicles and there are no access restrictions, we have no real idea of the vehicles that are on the street,” explains Victor Soares. The leader is calling for more regulation and an approach to a model similar to that of taxis, in which licenses are limited to ensure the viability of the activity.
“Everything Is Not Alright”
“Another important point is that a TVDE vehicle is licensed to do so by the IMT and not just the driver or company,” he added. “Everything is deregulated. We want concrete data and we can’t,” he complains, confirming that the union has already submitted this proposal to the IMT and the PS party. Industry representatives are still waiting for an answer.
The issue of permits is, in fact, an old battle for taxi drivers, who have been asking for allocation rules since the proliferation of TVDE platforms. “ANTRAL defended that they should have quotas and they didn’t accept it.
The chairman of ANTRAL thinks that “that is an industry that has no control” and reiterates the old criticism about the identification of TVDE vehicles, which in his view should be clearer. Today, with a better view than in the past, Victor Soares agrees that, “to dignify the sector”, vehicles should be identified, “as in other countries, with a number plate of a different color or number “.
descending taxis
When asked about the increase in new companies in the occasional passenger transport sector, Florêncio Almeida attributes the growth “to TVDE and tourist entertainment, but not to the taxi sector”. He states that among taxi drivers there is “a decline in the number of businesses”, partly due to the cessation of activity and the challenges it faces. For example, the lack of workers. “Today there are hundreds of cars parked in Lisbon because there is no manpower,” he says. On the other hand, the cost of 700 euros and the 125 hours of training required for taxi drivers to enter the profession contrasts with what is demanded of professionals on digital platforms.
And again, the position of ANM-TVDE is not much different from that defended by ANTRAL. “Driving schools issue authorizations for the IMT of people who do not have the qualifications required by law,” says Victor Soares of what he believes is a growing number of drivers who “do not speak Portuguese”. Despite often being on opposite sides of the barricade, there is one thing the two representatives agree 100% on: it is necessary to ensure greater scrutiny by the IMT of TVDE licensing.
Source: DN
