Uber, the controversial ride-sharing service, is launching on Thursday in Calgary, and the City of Calgary has already warned residents about the risks of using the service.

The ride sharing service made the announcement on Twitter on Thursday morning.

Uber touts itself as the cheaper option for getting a ride in the city and says all their drivers undergo a rigorous background check before they're accepted.

The service is also celebrating the event with two free rides for new Uber riders from when the service officially opens at 2 p.m. Thursday through until October 18, limited at $20 per ride.

Users can sign up by downloading the Uber app for iPhone, Android, and Windows phones.

Calgary's first Uber rider, local philanthropist Brett Wilson, says the advent of the service in Calgary is overdue. "I've been pushing for Uber in this city for years. I've personally started using it in Toronto, New York, Boston, Chicago, Houston, San Francisco, L.A.; it's a shame it's taken this long."

Wilson says that Uber is a tool that saves time for him. "I love the safety of it, I love that all the billing is done online. It's just the right tool. There's nothing I hate more than being put on hold and wait while dealing with an auto-dialer or a recorded voice."

He says that he is frustrated by the critics of the service and says the taxi company is just complaining about it instead of actively trying to compete.

"At one time we had a flat Earth society as well that didn't think the Earth was round. It's about moving forward. They're going to complain, I get that, but in my mind they should be thinking of ways of getting taxi companies to compete. The pie gets bigger - that's another thing - there's a lot of people in the city."

The City of Calgary, as Uber made the announcement on social media, issued a warning to potential users of the service about the risks associated with it.

Mayor Nenshi responded later on Thursday morning:

Officials say that city bylaws prohibit unlicenced private for hire vehicles due to a number of reasons including a lack of vehicle inspections, driver background checks, and inadequate insurance coverage.

Marc Halat, manager of Compliance Services with the City of Calgary, says while the city welcomes technology and new innovation they are as yet unregulated.

"Our organization takes a great deal of pride in what we believe is number 1 which is public safety. With the different service providers participating in this industry today, we don't have the confidence that it reaches the level that we have set in our bylaw."

Halat says that citizens' confidence and reliability is key for any service operating within the city. "We don't have that with our service provider at this point."

Drivers regulated by the city, Halat says, are trained on many different aspects of public safety, including road safety, vehicle maintenance, even on methods of navigating Calgary's streets, things that just can't be relied upon with Uber drivers.

"We can't abide by that and we don't think there is much appetite in citizens. We know that because of some of the work we've done in surveys, they say they want this new technology, but not at the compromise of safety."

He says that the city is still willing to work with Uber and says there is room for them in the industry, but it will take time.

Halat says that any Uber drivers who begin to operate within the city in contravention of the bylaw prohibiting them from being on the road will be punished accordingly under the bylaw.

"The drivers specifically could be facing a fine of $1,500 under three provisions of our bylaw."

He adds that the city has a plan in place to deal with Uber drivers in the city once the app goes live. "We want to do it right and we want to do it cautiously and we want to do it with meaningful enforcement presence. This is no knee-jerk reaction to a situation, that hasn't erupted overnight. We've been preparing for it, we knew it was coming, so we want to do it methodically."

As for licenced taxi drivers operating within the City of Calgary, Halat does expect there will be a backlash from them towards Uber. "We have to remember that these drivers are professionals. This is their livelihood. They came through this room and put out a lot of their own time, money, and effort to obtain certification. I want to restore confidence with them that their interests are being protected by the City of Calgary."

Council will be meeting next month to consider their options for regulating services like Uber.