Kochi: In the wake of complaints against ‘surge pricing’ by the online tax service provider Uber, the state government has mooted plans to ban such pricing in the state. Ernakulam RTO K.M. Shaji will submit a report before the state in the coming days recommending action against them.
“We have received several complaints against surge pricing by Uber drivers in Kochi. Charging exorbitant charges in the name of Surge is not acceptable and it is illegal,” Mr Shaji said. Uber passengers complained that trips to airport or longer trips are causing problems for them because of the change in fare. The price fixed by Uber are sometimes twice the fixed price.
According to Shaji, the existing law does not permit a taxi to charge more than the normal fare. “We are examining the issue and a recommendation to the government would be sent in two days,” he said. Karnataka and Delhi governments have already banned surge pricing.
According to Uber, the fares automatically increase when the taxi demand is higher than drivers. Usually, Uber surging only lasts for a few minutes depending on the demand and the number of available drivers in a respective area.
Uber’s website reads “You will never pay the surged fare price unless you accept the fare price, the Uber app will always ask you first to confirm the higher fare before requesting a car for you. If you have time you can easily get notified when the prices are back to normal fare rates by the push of a button on the same screen. Wait a few minutes and pay less.”
