Govt warns cab services like Ola, Uber; says resolve customer issues or face action
By Team Newsable | First Published May 10, 2022, 4:17 PM ISTThe consumer affairs ministry convened a conference after receiving concerns about cab aggregators, particularly Ola and Uber. The meeting comes in response to commuter concerns, including an increase in cab costs and cases where drivers refused to turn on the AC in the car, citing higher oil and gas prices.
Cab aggregators Ola, Uber, Jugnoo, and Meru attended a meeting scheduled by the consumer affairs ministry to clarify details on operations, fare pricing algorithm, and drivers' payment structure. Following the conversations, feedback will be integrated into standards for online cab aggregators to safeguard customers.
The rules will be in addition to the standards already in place from the federal and state transportation agencies. According to reports, the consumer affairs ministry is expected to establish standard operating procedures (SOPs) for resolving consumer complaints within specific time frames.
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The consumer affairs ministry convened a conference after receiving concerns about cab aggregators, particularly Ola and Uber. The meeting comes in response to commuter concerns, including an increase in cab costs and cases where drivers refused to turn on the AC in the car, citing higher oil and gas prices.
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"We have rigorously instructed cab aggregators to settle customer concerns," Consumer Affairs Secretary Rohit Kumar Singh told the reporters. He further said, "We have issued a warning to them to come up with feasible answers to consumer concerns as soon as possible, or else the appropriate body would take criminal action against them."
The government is also investigating how accurate and reasonable the tariffs charged based on destination are, as well as the cancellation fees.
Commuters in Delhi had difficulty last month when many auto and taxi drivers went on strike to protest rising gasoline costs.
The Central Consumer Protection Authority (CCPA) will also meet with cab aggregators to discuss their algorithms, following complaints from commuters about Uber and Ola drivers' ride cancellations, cancellation fees, unpredictable surge pricing, and long wait times.
Also Read | Uber raises trip rates by 10% in Bengaluru amid rising fuel prices
The regulator plans to ask cab-hailing services to demonstrate their algorithms for ride cancellations and surge pricing, as well as examine them on other problems.
According to a poll conducted this month by the community-based social media site LocalCircles, around 71% of clients believe that trip cancellation concerns by drivers persist despite the Motor Vehicle Aggregator Guidelines 2020. Despite the Motor Vehicle Aggregator Guidelines 2020, more than 45 percent of app-based taxi clients reported being charged more than 1.5 times in surge pricing.
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