Andorra Approves Taxi and VTC Reforms to Boost Fleet and Efficiency

The Andorran Council of Ministers has approved a new regulation for taxis and vehicle transport with driver (VTC) services, aiming to modernise the sector, improve efficiency and ensure better service for users.

David Forné, Secretary of State for Energy Transition, Transport and Mobility, presented the changes following the meeting. The rules prioritise taxis, allowing each licence to operate two vehicles that can run 24 hours a day with rotating drivers, subject to driving time limits. This will increase the taxi fleet from around 90 to up to 130 vehicles, based on a ratio of one taxi per 1,000 daily floating population units.

VTC services face stricter conditions and a lower growth cap. Currently at a ratio of about 0.78 vehicles per 1,000 floating population units, they can expand slightly to 0.85, potentially reaching around 100 vehicles. VTC drivers must secure prior reservations, return to base after each trip unless another booking is confirmed, and cannot pick up street hails. They also have six months to obtain a unified professional driver credential via a specific exam, matching taxi driver requirements. VTC firms must report base locations.

All taxis must join a single reservations centre, which now covers nearly 90% of the sector. A new app, Taxi Andorra, launched this week for iOS and Android, enables bookings, real-time tracking, price estimates and mobile payments alongside traditional options. Phone and WhatsApp reservations remain available via unified numbers.

Creating an alternative centre requires at least 25% sector support, which is currently unfeasible. Taxis cannot combine operations with VTC platforms or advertise other transport modes, such as Uber branding. Forné stressed: a taxi "cannot be in two places at once with the same vehicle."

Non-compliance will trigger warnings, with licence revocation possible for justified bad practices. Taxi licences become freely transferable after 10 years of service. Forné described the reforms as consensual with stakeholders, creating a more coordinated model that benefits citizens through better data-driven demand management. Ratios will be reviewed based on real usage.