Your Uber cab ride will be a cool one but the tab will leave you hot under the collar. Days after applying for a licence, Uber has increased fares by 15 per cent on average. However, Ola has not announced any hike, as yet. The reason for the Uber fare hike is the continuous rise in petrol and diesel prices, though CNG prices have dropped by Rs 6 per kg.
This comes at a time when the transport department capped surge pricing at 1.5 times of the fares of black and yellow taxis. The last hike for aggregator cabs took place in mid-2021.
However, one thing is assured - even though riders’ pockets may be burned, it will happen in cool confines. Drivers have been asked to keep the air conditioning switched on throughout the journey. According to Uber officials, the fare hike came into effect from April 1. Sources say, a minimum average hike of 15 per cent in earnings is assured though it might differ in peak and non-peak hours. This will also increase the base fares as well.
Explaining the hike, Uber officials said that drivers who earned Rs 89 for a ride from the BKC to Phoenix Mall in Lower Parel (3km route) will now get Rs 106, an 18 per cent rise. This will depend on the traffic as well. Likewise, a 36km-journey from Oberoi Mall in Goregaon to the Gateway of India will now cost the rider approximately Rs 488-490, from Rs 400 earlier.
“We listen to feedback from drivers and understand that the current rise in fuel prices is causing concern. To help cushion drivers from the impact of the spike in fuel prices, Uber is raising trip fares in Mumbai by 15 per cent. Over the coming weeks, we will continue to track fuel price movements and will take further steps as needed,” said Nitish Bhushan, head of central operations, Uber India and South Asia.
The drivers, whose demand for a fare hike is a long-pending one, claimed that Uber has promised these new fares without any deduction of commission on the same. The base earnings assured on UberGo is Rs 105, Uber Premier is Rs 140 and Uber XL is Rs 190.
The drivers’ association however, has stated that long-distance journeys will be cheaper. “What we understand is that the per minute charge will drop and it will not benefit in long journeys,” said an Uber cab driver who did not want to be named. Mumbai has one of the highest fuel prices in India — at the time of writing, a litre of petrol was priced at Rs 116.86, a litre of diesel at Rs101.08 and compressed natural gas (CNG) at Rs 60 per kg.
