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Friday, December 8, 2023

Ola, Uber, Rapido Auto Services To Stop In Karnataka In Three Days

Bengaluru: Karnataka government has declared big app based cab and bike aggregator Uber, Ola and Rapido as “illegal”, under the On-Demand Transportation Technology Act 2016, and have ordered to stop all their auto services in the state within next three days. Government had issued a notice on Thursday and given a three-day period to file their reply and compliance report.Also Read – Ola, Uber, Rapido Auto Services To Stop In Karnataka? What's Changed So Far | Key Points

The move comes after several day-to-day commuters reported that these app based aggregators’ auto services are charging exorbitantly high rates even for a mere 2 km stop. As per rules, there is a fixed rate of Rs 30 for first two km and Rs 15 per km thereafter for auto. Also Read – Seize Ola, Uber Autos Plying Despite Orders to Stop: Karnataka Government


The aggregators are providing autorickshaw services in violation of government regulations. Also, it has come to the notice of the department that customers are being charged higher rates than the rates fixed by the government,” transport commissioner T H M Kumar was quoted as saying by Times of India Also Read – Bengaluru Auto Unions To Launch Mobile Apps To Counter Ola, Uber

According to State Transport Authorities, these aggregators are not suppose to run autorickshaws with cab-aggregator licence as aggregator rules are only there for cabs. “As per the provisions under On-Demand Transportation Technology Act 2016 aggregators are given license to provide taxi services only, taxi means a motor cab having a seating capacity not exceeding 6 passengers excluding the driver with public service permit on contract”, said the transport commissioner THM Kumar in a notice issued on Thursday.

“Auto services should be discontinued and also not to charge passengers more than the fare prescribed by the government,” read the department order.

The local auto drivers in Bengaluru were also planning to counter the app-based aggregators by launching their own mobile applications. The “Namma Yatri” app is expected to be launched on November 1, reported Business Standard.

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