Ola, Uber buckle under pressure, register with RTO

BENGALURU, April 22, 2016:The Transport Department will soon be able to monitor and take action against cab aggregators if they flout the rules. Two of the city’s biggest cab aggregators – Ola (which also runs TaxiForSure) and Uber — have come forward to register with the department under the Karnataka On-demand Transportation Technology Aggregators Rules, 2016. This will mean they will have to follow all the rules, including those that set a cap on maximum fare. With this, the standoff between the aggregators and the Transport Departmentis expected to end. Complaints to the Transport Department that a rate higher than Rs. 19.5 has been paid, will result in action against the aggregator. The licence can be suspended for a minimum of 30 days and a maximum of six months if it is found to have violated any rule, or if the complainant’s claim is found to be true. A criminal complaint filed against the company or an employee is also grounds for cancellation of licence. Uber’s concerns Uber, which applied for registration this week, said in a statement that it had done so in spite of a few concerns it had regarding some of the rules. “We have applied for licence under the Karnataka On-demand Transportation Technology Aggregator Rules, 2016. However, there are certain concerns about a few rules that we need more clarity on. We’re awaiting a response from the government on the same,” said Bhavik Rathod, General Manager, Uber (South and West). The company has issues with rules such as the compulsory fixing of a digital meter and the cap on surge pricing. It feels this goes against new technologies being used to better public transportation. Consumers, however, have welcomed the move. Ola did not immediately respond to queries about registering under the rules. -DeccanHerald