App-based taxi services Ola, Uber, and Rapido requested to match the minimum fare of traditional black-and-yellow taxis in Mumbai.
The Mumbai Metropolitan Region Transport Authority (MMRTA) has issued a directive to Uber, Ola, and Rapido, requiring them to implement a new fare structure that mirrors the base fares of traditional black-and-yellow taxis. This order will remain in effect until the government finalises distinct fare rates for these digital platforms.
In response to this directive, the Bhartiya Gig Kamgar Manch, a union representing gig workers, organised a protest at the Transport Commissioner's office in Mumbai. Demonstrators displayed placards reading "Ola Uber and Rapido Mantralay" during the protest, and the union chanted slogans against Maharashtra transport minister Pratap Sarnaik.
As per the MMRTA's letter issued on September 16, the mandated fare for non-AC vehicles is Rs 20.66 per km, and for AC vehicles, it is Rs 22.72 per km. The app-based taxi drivers will receive 80 percent of the fare, while passengers will pay at least Rs 5 more per kilometre under the updated structure compared to previous app-based minimum fares.
Moreover, the base fare for app-based taxis can be discounted by 25 percent when demand is low. A 1.5 times surge is allowed during high-demand periods for app-based taxis.
The aggregators were required to update their fare systems by 5 pm on September 18. Bharat Kalaskar, who holds additional charge as additional transport commissioner of Maharashtra, stated that a meeting with the aggregators was convened, and they have agreed to implement the new fare structure. Representatives of app-based drivers' unions were present during the discussion.
Interestingly, the Delhi government has demanded that digital platforms Uber, Ola, and Rapido set the base fares to match the traditional black taxi and auto-rickshaw rates until the government determines the appropriate fares.
The MMRTA's decision to revise fares was allegedly influenced by pressure from drivers' unions of app-based taxis and auto rickshaws. The union has threatened another, more intense agitation on September 30 if the government fails to hike the fare of app-based taxis and give licenses to bike taxis.
This directive comes after the approval of bike taxi services for Ola, Uber, and Rapido under new rules in Mumbai, as stated in a related article. It remains to be seen how this new fare structure will affect both drivers and passengers in the city.
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