After booking a cab from Ola or Uber to go to school, college, office, etc., the question that often comes to mind is, ‘Why does Ola or Uber increase fares at peak hours?’ If the fare to your destination is Rs. 120, Rs. 250 is charged from you in the name of peak time. But now Ola-Uber will not be able to collect more rent from you in the name of peak time. There is good news for you from the government.
The central government has set a maximum rental limit for cab companies. From now on, some companies will not be able to charge passengers more than the total fare, i.e. the fare of the base fare. This means that from now on, some companies will not be able to charge more than the stipulated maximum limit. If the rent for a place is Rs. 150 after the application of this rule, then the rent at peak time will be Rs.
It is to be noted that the demand for fixing the rent of cab companies was raised in the country a long time ago. This is the first decision by the government to regulate cable companies in India. Earlier, the government had not taken any decision. In addition, the government has set limits on discounts offered by companies. From now on, some companies will not be able to offer more than 50% discount on batch fares.
The government’s decision, on the other hand, is expected to benefit drivers outside the consumer. From now on, 80 per cent of the fare will be credited to the driver’s account and 20 per cent will be earned by the cable company. If a person cancels the cable, then the cable company can deduct only 10% of the total rent.