Dunedin City Council regulatory subcommittee chairman Andrew Whiley said the subcommittee was unanimous in recommending the permit approach included in the council’s proposed new trading in public places bylaw.
However, the bylaw itself did not contain new rules for e-scooter operators, Cr Whiley said.
"I’m still quite frustrated with what I see in my neighbourhood and where I see Lime scooters placed," he said.
"I also see how they are parked on footpaths around the city — and I heard loud and clear what the concerns were from the disability and blind sectors, etc.
"Unfortunately, that was not something we could address directly in the bylaw."
At present, Lime operated in Dunedin with a memorandum of understanding with the council.
A permit issued by the council would give the council the power to enforce rules, not just for Lime but for any firm looking to enter the emerging transport market.
Those rules would be subject to further work from council staff and from rules or guidance determined at a national level, he said.
In March last year, after Lime’s launch in Dunedin, the council undertook a review of its mobile trading and temporary stall bylaw to potentially include rental share scheme operators such as e-scooter companies, council policy analyst Anne Gray’s report to the subcommittee said.
Following the review, a new bylaw was proposed that included a number of other activities.
The council then chose to develop a bylaw that included a broadened definition of trading, a requirement for traders to have a permit and to comply with permit conditions, penalties for breaches, and enforcement options.
Permit conditions themselves would not sit within the bylaw.
"This approach should be more accessible and simpler for the public," the report said.
"It should also provide greater flexibility should conditions need to be amended or updated, for example with the arrival of unforeseen types of trading."
Eight submitters spoke at the regulatory subcommittee hearing last week; among them was Lime public affairs manager Lauren Mentjox, who said that after about two years in Dunedin the company had ironed out a lot of the issues the bylaw would address.
The memorandum of understanding between Lime and the council was working, she said.
