Transport chief Tomin J Thachankary bans Uber's surge pricing

Kochi: The state transport commissioner has banned ‘Surge Pricing’ by Uber in Kerala. Transport  commissioner Tomin Thachankary issued the order in the wake of complaints against Surge Pricing.   The TC made it clear that the surge pricing is illegal and is in violation of the Motor Vehicles Act 1988. According to the TC, permits of Uber vehicles will be suspended if they do not comply with the Kerala Motor Vehicle Depart-ment Act, 1988. The licence of drivers also would be cancelled, the TC warned.

Uber fare rates automatically increase during peak hours and the commuters who are willing to pay the surge pricing are forced to shell out double the normal charges or more.   The Motor Vehicle Department also announced two mobile numbers for the commuters to register complaints against App based taxi services.

The commuters can register complaint against App based taxi car service providers such as Uber and Ola at 8547639000 and 9446033314 or tc@keralamvd.gov.in. Deccan Chronicle was the first to report the then Ernakulam RTO K.M. Shaji taking action against three Uber drivers.  

According to the Motor Vehicle Department Motor Cabs should only charge a minimum of Rs 150 for five kilometers and Rs 12 for every additional km, the amount fixed by government. Uber, however, claimed that “surge pricing” is just a raise in price when demand is strong. Uber clarifies the user will be notified about the surged fare price and the Uber app will always ask a commuter to confirm the higher fare before requesting a car.