In a pattern that is starting to repeat itself across the globe, a locally-based rideshare company in Calgary has stepped in to provide services when ride hail giants Uber and Lyft abandoned the market due to what they call an “unworkable” regulatory environment.

Edmonton-based TappCar recently launched services in Calgary after Uber withdrew from the city and Lyft announced it would not start services after the Calgary City Council passed amendments to the city’s livery transport bylaws.

The recently passed bylaws legalize transportation network companies, or ride-share drivers, to operate provided the company uses a city-approved app, drivers hold a Class 4 license, undergo a police background check and obtain provincially approved insurance coverage.

“We’ve received lots of feedback from Calgarians – popular demand – that we come down here and set up shop so that’s what we’re doing,” said Pascal Ryffel, a spokesperson for TappCar.

"The main difference is that Uber came to the city with a business plan and they wanted to get the rules adjusted to their business plan," said Ryffel. "We looked at the rules first and then created the business plan according to the existing rules and I think that's how 99.9 per cent of businesses are done."

Uber declared Calgary's bylaw as "unworkable," withdrew its service and vowed to stay out of the Calgary market until officials tailored the bylaw to suit its business model.

TappCar first launched in Edmonton in March, where it employs about 250 drivers and has seen more than 30,000 downloads of its app. In Calgary, the company has seen about 5,000 downloads of its app and has about 40 drivers on the road, though Ryffel hopes to see those number increase rapidly.

He said TappCar's business model has sparked a lot of interest among Calgary cab drivers. It charges full-time drivers a $250 a week flat fee that covers union dues, pension plan, health benefits and commercial vehicle insurance. Drivers pocket fares beyond that $1,000 a month levy.

"There's a little bit of, I think, pressure from taxi brokers to their drivers not to join TappCar because I think ... they feel a little bit threatened by what we are offering particularly because we offer more to drivers," Ryffel said.

A 2015 city report found taxi use in Calgary increased seven percent from 2014 to 2015 and car sharing increased from four percent over the same period.

The frequency of overall taxi usage (including accessible taxis), however, declined from an average of 16 trips in 2014 to an average of 14 trips in 2015.

Earlier this month, veteran cabbie Robert McGregory told the city's taxi and limousine advisory committee drivers are struggling to make ends meet, often taking cash trips off the books, and sleeping in their vehicles.

McGregory introduced a motion calling on the advisory committee to reconsider its support for the taxi meter rate now being set as a maximum. But the committee referred it back to McGregor to fine-tune and report back later this year.

TappCar founders Jonathon Wescott and Shane Saskiw say the company was born out of frustration towards traditional taxis and companies like Uber, and as a response to the evolving landscape of the personal transportation industry.

“Our mission is to give customers and drivers a reliable and fair alternative to the current status quo. Our belief is that when our employees win, we all win, and as such our drivers are properly insured and taken care of, leaving customers with a higher quality of service and a safer ride. Being a local company, we pay into the systems and infrastructure that we use on a daily basis. We are proudly Albertan, and proudly Canadian,” said Wescott.