Transport Department likely to amend taxi aggregators rules

In the coming days, your cab ride could get costlier if you opt for a luxury sedan. It’s likely that cab aggregators will be given leeway to decide fares for luxury cars based on surge pricing models.

The State Transport Department is considering amending its present rules to incorporate recommendations for cab aggregators made last month by a committee appointed by the Centre.

In a bid to regulate cab aggregators, the department notified rules last year, which did not go well with operators. “If the Centre notifies guidelines on the issue, we will re-look into our State rules and opt for amending them,” said Transport Commissioner M.K. Aiyappa.

The Karnataka On-Demand Transportation Technology Aggregator Rules were introduced in February last year. These rules made it mandatory for aggregators to obtain licence to ply. It also imposed restrictions on fares that could be charged as well as making safety measures like panic buttons and GPS tracking a must.

Almost immediately, these rules were challenged by major aggregators Ola and Uber. While Ola eventually got a licence to operate in Karnataka, Uber managed to get a licence in December and is still fighting a battle in the High Court of Karnataka on the validity of these rules.

Officials say these rules will now have to be reworked in order to incorporate some of the recommendations issued by the committee under the Ministry of Road Transport and Highways (MoRTH) in December 2016.

These include the possibility of not regulating fares of ‘deluxe’ taxis defined in the guidelines as cars above four meters in length. The committee has recommended a regulated surge pricing system in which operators can declare the minimum price to the Transport Department and then charge up to three times the price during peak hours or four times between midnight and 5 a.m.

The rules in Karnataka had fixed the maximum fare at ₹19.5 per km, besides making it mandatory for taxis to have digital fare meters and printers to issue bills. These were widely criticised by aggregators as being out of touch with current technology, which provides these services from within the phone app itself.

Bike taxi operators optimistic

Meanwhile, bike taxi operators as well as ride sharing companies are hoping that the modified rules will make it easier for them to operate as they are now not allowed to ply legally in the State. However, the new guidelines call for ‘promoting bike sharing and e-rickshaws for last mile connectivity’ as well as online conversion of eligible personal vehicles to commercial taxis on payment of charges to facilitate use of idle assets.

“This could be a great deal for those who use their cars only a few times in the week or who want to earn money from their vehicle that sits idle at home. It would also cut down on traffic as more passengers will travel in fewer cars,” said Manjunath K.S., a regular cab user.