Waymo Free Rides in California? You Can Thank a Regulatory Quirk

Robotaxi companies have it it thrived in California, where favorable climate, interest in manufacturing, and high-quality workers have fueled its growth for nearly two decades. But a delayed decision from the regulatory agency is now delaying Alphabet’s support team That’s itthe US leader in robot-free service.

The standoff meant that Waymo was not allowed to expand into northern and southern California. And, instead of passengers, Waymo still can’t afford to charge Californians to ride its new car, A gray car made in China called Ojaiwhich started carrying passengers last month.

If Waymo continues to operate these vehicles without driving in the snow, they could be comfortable until the end of September and possibly beyond. (The company continues to charge for rides in the Jaguar I-Pace robotaxis, which makes up most of its fleet.)

Unlike other states that allow robotaxis to begin testing and then public service without supervision, if any, California does not allow vehicles to hit the roads without a permit. To put their autonomous vehicles on the road, companies need approval from the state’s Department of Motor Vehicles. They also need a license from the California Public Utilities Commission, which regulates taxi and other transportation services, to carry passengers.

Courtesy of Waymo

Waymo applied to the CPUC in January to expand its operations and add its Ojai vehicles to its fleet. In Northern California, its new operations center will stretch from Sea Ranch and Sacramento in the north, through Berkeley and Oakland, to San Jose. In Southern California, it grows through Los Angeles to Thousand Oaks and Santa Clarita, to the border of Tijuana through San Diego.

But the plan has been caught in a strange controversy. In May, the agency asked for more information about Waymo’s status responds to emergency situationslike December San Francisco Power Outage which disrupted more than 60 Waymos on the road. It also asked for more information about Waymo’s certification process unaccompanied minors not riding in his cars—breaking state law. The questions came after a labor union representing snowmobile drivers filed a complaint with the agency alleging that Waymo transports unaccompanied children.

Now, the CPUC’s Consumer Protection and Enforcement Division and Waymo have agreed to a new extension until September 25, according to Terrie Prosper, a spokeswoman for the agency. Waymo’s request “is still under discussion, and the request for approval has not been approved,” Prosper said.