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This is an archive article published on October 11, 2022

Karnataka makes Ola, Uber autorickshaws illegal from today

In case of violation, a penalty of Rs 5,000 per vehicle will be levied on the cab aggregators. Cab aggregating companies decided to file an application before the transport department to permit them to aggregate three-wheelers in Karnataka.

A penalty of Rs 5,000 per vehicle will be levied on the cab aggregators as a first-time offence in case they operate three-wheelers. (File photo)A penalty of Rs 5,000 per vehicle will be levied on the cab aggregators as a first-time offence in case they operate three-wheelers. (File photo)

The Karnataka government has made booking of autorickshaws on the ride-hailing apps of Ola and Uber illegal from Wednesday. The decision was taken following a meeting between the Karnataka Transport and Road Safety Department and the representatives of the cab aggregators Tuesday.

The department has said that a penalty of Rs 5,000 per vehicle will be levied on the cab aggregators as a first-time offence in case they operate three-wheelers.

However, during the meeting, the cab aggregating companies decided to file an application before the transport department to permit them to aggregate three-wheelers in Karnataka.

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The three-day deadline that the government issued to cab aggregators to stop offering auto services ended Tuesday.

According to T H M Kumar, Commissioner of Road Transport and Safety Department, the cab aggregators have submitted a proposal to aggregate three-wheelers and issue them licence to operate them. “The cab aggregators have submitted a formula for fixing the fare to legalise three-wheelers wherein, they will be charging Rs 30 as the base price (as per government rules), plus a GST of 5% plus a convenience fee. We will be receiving an application from the aggregators tomorrow, which will be forwarded to the government to take action,” said Kumar.

Kumar also admitted that the autorickshaws, until now, were illegally operated by the cab aggregators and a report on the matter will be submitted to the government shortly.

The transport department has also given a letter to the cab aggregators to disable the bookings for three-wheelers on their apps from Wednesday. If they do not comply with the order, the department will issue a directive to the cyber crime department to block the autorickshaw services on cab aggregator apps, said the officials.

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Kumar said the transport department would seek data from the companies on the number of violations that will take place from Wednesday.

Meanwhile, representatives from the autorickshaw drivers’ community demanded a complete ban on the three-wheeler services offered by Ola and Uber. Amrutesh N P, a lawyer representing the Bharata Transportation Association Group, said, “The government should strictly ban Ola and Uber autos instead of conspiring with the cab aggregators and allowing them to loot the people and devastate the lives of the auto drivers,” If the government is accepting their proposal to legalise autos, then who is accountable for running autorickshaws illegally for the past seven years? Amrutesh asked.

Satish Kumar, an auto driver who usually earns Rs 1,000 a day, said cab aggregators have ruined his livelihood. “Thirty percent of the earnings go to the company, leaving me with very little money. I can’t pay the admission fees for my kids nor run the family affairs. Moreover, we are being charged Rs 600 monthly as platform fees. We are happy to go back to meter fare,” Kumar said.

Syed Nawaz, another auto driver, said, “We want the government to set the minimum price at Rs 50, an increase from Rs 30. We have to pay our fuel charges, clear our loans, maintain our household, and what we earn through apps is insufficient. We get Rs 400 as an incentive for 8 rides out of which Rs 250 goes to the company.”

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The government began the crackdown on auto services offered by cab aggregators after passengers complained of fleecing them. The cab aggregators also did not have the licence to offer auto services as per the RTO rules.

Sanath Prasad is a senior sub-editor and reporter with the Bengaluru bureau of Indian Express. He covers education, transport, infrastructure and trends and issues integral to Bengaluru. He holds more than two years of reporting experience in Karnataka. His major works include the impact of Hijab ban on Muslim girls in Karnataka, tracing the lives of the victims of Kerala cannibalism, exploring the trends in dairy market of Karnataka in the aftermath of Amul-Nandini controversy, and Karnataka State Elections among others. If he is not writing, he keeps himself engaged with badminton, swimming, and loves exploring. ... Read More

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