BUSINESS
05/24/2018 11:16 EDT | Updated 05/24/2018 13:11 EDT

Car2Go Leaving Toronto Over New Parking Rules

The car-sharing service is losing access to thousands of parking spots around the city.

A Car2Go vehicle parked on a street in central Berlin, Germany, Wed. Feb. 19, 2014. Car2Go is suspending its Toronto operations at the end of the month because of City of Toronto parking regulations.

TORONTO — Car2Go is suspending its Toronto operations at the end of the month because of forthcoming parking regulations.

The car-sharing company's president Paul DeLong says it will be impossible to operate in Toronto come June, when a city-run pilot program will forbid the use of almost 10,000 parking spaces where users usually pick up or leave Car2Go vehicles.

He is also complaining that Toronto's city council recently passed parking permit fees, requiring companies taking part in a new car-sharing pilot to pay $1,499.02 per vehicle.

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In an open letter DeLong released on Wednesday morning, he says calling the move a disappointment would be "a huge understatement."

He says the company did not want to cease its Toronto operations, but felt it has no other choice.

Car2Go launched in Toronto in early 2016 and operates in 26 cities around the world, including Calgary, Montreal and Vancouver.

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