Surge pricing by taxi aggregators has made a quiet comeback over the past few weeks in Bengaluru.
Rates in the past remained under the ₹19.50 per a km cap, fixed by the Karnataka government. But many users now complain that they are paying up to ₹24 a km during the surge pricing hours. In the absence of enforcement drives targeting the practice, companies seem to be charging arbitrary rates that change every hour, users say.
Surge pricing, while permitted, has to be under the maximum fare fixed for cabs by the government.
“I have been travelling towards Electronics City from my house for more than a year now. Nowadays, I pay ₹355 per trip, around ₹23-24 a km. Some days, the rates are even higher,” says Arvind Agarwal, a resident.
The State government last year tried to regulate the growing sector of taxi aggregators by introducing rules. However, these were challenged in the High Court and were subsequently stayed. This effectively stopped all enforcement activities.
Last December, a committee formed to look into regulating aggregators at the Central level recommended that surge pricing with a cap for small cabs and without regulation for larger taxis can be allowed. But taxis in the city are, reportedly, regularly crossing the enforceable cap.
Earlier, refunds were issued for the difference by some companies, but this has also stopped, users say.
While officials maintain that they will act against anyone who charges more than the fixed rate, the technology being used by the aggregators to offer different prices to different customers seems to have the department stumped.