The new fare slabs, which were notified by the government on Wednesday, will leave commuters at the mercy of aggregators who may choose to charge the maximum fare during peak hours. For instance, a passenger in a hatchback that costs ₹10 lakh will have to pay ₹52 for the first four kilometres and can then be charged a maximum of ₹24 for every additional kilometre.
Commuters have also raised concerns over how the transport authority will ensure that taxis won’t go beyond the maximum fare when demand is high.
Transport Commissioner B. Dayananda said, “We will act against the taxi aggregators if passengers complain about overcharging. Passengers can contact RTOs or send a mail to us."
Silent on digital meters
The rules had specified that digital meters be installed in taxis. However, the notification is silent on this matter. "Some taxi aggregators had approached the High Court against the rules. Now the matter is sub-judice," said Mr. Dayananda.
Even taxi drivers have expressed discontent with the notification. "The notification will only benefit the aggregators. It is not at all beneficial for drivers or passengers. It further promotes aggregators to increase surge pricing and fleece passengers. In the coming days, we will protest against the decision of the government," said Tanveer Pasha, president, Karnataka Taxi Owners’ Federation.
Taxi aggregator Uber has welcomed the notification saying the revision will help improve the earning potential of their driver-partners. “We believe dynamic pricing will increase reliability for riders and improve asset utilisation for driver-partners," said Christian Freese, GM - South, Uber India.
In the past, on many occasions, taxi aggregators gave promotional fares that were even below those of autos. However, Wednesday's notification has 'barred' taxi operators from charging below the minimum fare fixed by the government.
An official said, "The minimum fare is meant to protect the interest of drivers. Last year, drivers held protests against aggregators over promotional fare. They demanded a minimum fare to make their business viable.”
Other highlights
* Aggregators can collect entry fee or toll fee from passengers
* Passengers need not pay waiting charge for the first 20 minutes
* Thereafter, ₹10 is applicable for every 15 minutes of waiting
* No travel time charge. Relief for passengers who end up paying extra due to traffic