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Karnataka HC allows cab aggregators to run auto-rickshaw services with excess fare of 10% as fixed by government

The Karnataka High Court has given permission to the taxi aggregators to operate their autorickshaws and charge 10% more than the government’s established cap prices on Friday.

By wasmulhaq 
Updated Date

Bengaluru: The Karnataka High Court has given permission to the taxi aggregators to operate their autorickshaws and charge 10% more than the government’s established cap prices on Friday. The Karnataka government’s prohibition on taxi apps for auto-rickshaw services, announced on October 6, was challenged by Ola and Uber in the High Court.

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The minimum auto fare was formerly 100, but as of Saturday, Uber has lowered it to 30. The new report states that, the government will announce a new framework for auto rates in 10 to 15 days, and until then cab aggregators are permitted to operate auto-rickshaw services with a 10% increase over the government’s currently established auto fares.

The Karnataka government raised the metre fares for auto drivers in the state in November 2022. The fare is raised to 30 from 25 for the first two kilometres, and the base price per kilometre is increased to 15 from 13 rupees.

On October 6, the Karnataka transport department issued an order that stated: “The aggregators who are operating auto services through their applications are violating the transport legislation. We also received complaints about not following the government-imposed pricing cap. We have information that the passengers have to pay additional fares. Therefore, the auto services must be discontinued, and aggregators must submit a report to the government on overprice allegations.

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