This Article is From Apr 18, 2016

After Chief Minister Kejriwal's Warning, Uber And Ola Stop Surge Pricing

As Delhi tries out Odd-Even scheme, social media has been abuzz with people complaining about surge pricing on Uber and Ola.

Highlights

  • Uber and Ola have announced they are suspending surge pricing
  • Will impound taxis, cancel permits for over-charging Kejriwal had said
  • Odd-even scheme has people dependent on public transport
New Delhi: Taxi apps Uber and Ola have stopped surge pricing after a firm warning was issued by Chief Minister Arvind Kejriwal against taxis trying to take advantage of the new round of traffic restrictions dubbed the "odd-even" scheme.

With Delhi getting back to school and work today after a long weekend, the government is under pressure to ensure adequate public transport for commuters grappling with "odd-even".Uber said in a statement that surge pricing - or higher fares - when demand rises, is standard. "Airlines and hotels are more expensive during busy times. Uber is as well," the company said in a statement, adding, "Given the threat of the Delhi government to cancel permits and impound vehicles of our driver partners, we are temporarily suspending surge in Delhi with immediate effect."

Uber later told NDTV, "We are hurt by having to pull out of surge pricing... This will impact livelihoods of several CNG car drivers."

Ola said, "We've temporarily pulled out Peak Pricing in Delhi in support of the government's odd-even initiative" which ends on April 30.

The odd-even scheme, an attempt to check air pollution, bans private cars on alternate days. Cars with odd-numbered license plates are allowed to run on odd dates, with even-numbered cars permitted for the other days. Sundays are a free-for-all.

The scheme was first implemented at the start of the year for a fortnight; its second instalment began last week.
 

The Odd-Even scheme hopes to reduce pollution and traffic congestion. (AFP photo)

A strike threatened by an auto and taxi union affiliated to the RSS or Rashtriya Swayamsewak Sangh, was averted last night with government negotiations. The RSS is the ideological parent of the BJP, which lost the Delhi elections by a landslide to Mr Kejriwal's Aam Aadmi Party or AAP.

For Delhi commuters, the government has reiterated that taxi fares are as follows:

Rs 12.50 per km for Economy Radio Taxis; and Rs 14 per km and Rs 16 per km for non-AC & AC black-and-yellow cabs.

For Ola and Uber type Radio Taxi cabs, the fare is Rs 23 per km. Additional night charges (25% of the fare) are applicable during 11 PM to 5 AM.
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