Taxi surge pricing can’t exceed twice base fare: Transport Dept

| | New Delhi
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Taxi surge pricing can’t exceed twice base fare: Transport Dept

Wednesday, 06 July 2022 | Staff Reporter | New Delhi

Taking note of the exorbitant charges by cab Aggregators during peak hours, the Delhi Government’s Transport Department on Tuesday issued a draft notification of the ‘Delhi Motor Vehicle Aggregation scheme’ for licensing and regulation of Aggregators providing passenger transport services and for regulation of delivery Aggregators providing delivery service of goods and commodities, including last-mile delivery service providers in the national Capital.

The draft proposed that the cab Aggregators who increase the fare during the peak hour demand and festivals period cannot double the price. Once it comes into effect, the cab Aggregators cannot charge double the base fare, as specified by the Transport Department, GNCTD from time to time. They will only be allowed to charge fare, including maximum surge pricing not exceedingly twice the base fare. According to the scheme, all the new vehicles engaged by the Aggregators shall be electric. After grant of the Aggregator licence, there should be at least 10 new electric vehicles (EVs) on board by the Aggregator, within the first six months from the day of grant of licence.

The Government has set a timeline for the Aggregator to adopt EVs. In the next four years, there should be 100 per cent electric three-wheelers, while 75 per cent of four-wheelers, mostly cars, should be electric. Further, by April 2030, the Aggregator will have to completely adopt EVs. “The existing conventional vehicles on boarded by the Aggregator shall be liable for fine and challan..." the draft notification said. The Transport Department has invited suggestions from the public by July 16 before the scheme is finally notified under the law.

According to Transport Department officials, the scheme is applicable to all Aggregators with at least 25 motor vehicles in their fleet and to the vehicles that may be integrated by them.  It is also applicable to the Aggregators which have on-boarded 2-W, 3-W, and 4-W motor vehicles only, and shall not apply to buses. As per the draft notification, in case the Aggregator operates without the licence, he shall be liable to pay a fine of Rs 25,000 per vehicle.  In instances where the information of the vehicle operated by the Aggregator is not provided to the Transport Department, a fine of Rs. 15,000 will be charged per vehicle.

Additionally, in the circumstance where the Aggregator fails to meet the fleet conversion targets, he is liable to pay a monetary fine of Rs 50,000 per vehicle.

The Aggregator shall be required to take appropriate action against the driver partners having 15 per cent or more grievances for the rides undertaken by him/her in a period of one month. For drivers having a rating less than 3.5 over a period of one year, the Aggregator should undertake remedial trainings and corrective measures to rectify the issues. The Aggregator should provide quarterly reports on driver ratings and grievances received against the drivers to the Transport Department.

The aggregator should also register a company in the country and register themselves as a notified portal as prescribed by the transport department. The scheme also proposes the aggregator to have an established call centre in Delhi that gives information in Hindi and English.

It also says that transport department shall be provided access to a web-based portal to enable the aggregator to update the details of vehicles and drivers integrated with users so as transport department and investigation authorities can ensure passengers’ safety.

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