Madrid prohibits rental e-scooters operation, ascertaining that operators failed to fulfill necessary criteria.
City leader Jose Martinez-Almeida announced the decision on a Thursday, and the local government released a statement stating that the three companies didn't adhere to the rules outlined in their permits, which were granted in May 2023.
The statement mentioned that the companies hindered the authorities' attempts to inspect their operations by withholding necessary information and denying access to their systems. Regardless, it was confirmed that they had violated the conditions of their permits.
The offenses included insufficient service coverage throughout the city, lack of insurance coverage, and absence of technology preventing the scooters from operating or parking in restricted areas, it stated.
Lime, Dott, and Tier were chosen to provide e-scooter rentals in Madrid, with permits for 2,000 scooters each. The city council's decision implies that "e-scooters will no longer be available in the city from October," it stated.
Once the permit revocation process begins, the companies will have 20 days to contest the decision, the statement noted.
Dott's spokesperson informed CNN on Monday that the company had received a notification from the Madrid city hall on Thursday.
"We're analyzing the situation of shared e-scooter services and waiting for a meeting with Madrid municipality before making any decisions," the spokesperson stated on Monday.
"We anticipate that constructive dialogue with the municipality is possible to understand the reasons for the announced decision, enabling us to rectify them and maintain a beneficial mobility service for Madrid's residents and tourists," the spokesperson added.
Lime's spokesperson told CNN that the company was "dissatisfied with this unexpected decision" and felt that "the cited grounds for this action were misguided."
"We will explore means to assist our riders in Madrid to ensure they have access to safe, affordable, and environmentally friendly transportation options and look forward to continuing dialogues with the Council to ensure services can continue," the spokesperson commented.
CNN has contacted Tier for a statement.
Madrid council declared it would not grant any more e-scooter operating permits, Mayor Martinez-Almeida emphasized in the statement, "since it has been proven that the market cannot fulfill the necessary requirements established by the council ensuring the highest level of citizen safety possible."
Private electric scooters remain legal in the city, according to the city hall's website.
Madrid is not the first city to take action against e-scooter rentals, which have become more controversial.
In August, officials in the Australian city of Melbourne decided to ban e-scooter rentals, citing safety concerns following numerous complaints and accident reports.
"This was a chance to put an end to the chaos on Melbourne's footpaths and make our city safe again," Melbourne Mayor Nicholas Reece allegedly stated during a press conference.
And in April 2023, residents of Paris voted in favor of banning rental electric scooters from the French capital, with the ban commencing at the end of August, when the scooter operators' contracts ended.
After receiving the notification from Madrid city hall, Dott is analyzing the situation and plans to meet with the municipality to understand and rectify the issues. (Follows from Dott's spokesperson statement)
The revocation of permits for Lime, Dott, and Tier means that e-scooter rental services will no longer be available in Madrid starting from October. (Follows from city council's decision statement)
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