The Congress attacked the central government on Wednesday over its approval of a move that would enable cab aggregators like Ola and Uber to charge their customers up to twice the initial price during peak hours, as compared to earlier, when they had to charge only 1.5 times.
Such companies will now be giving you twice the fare between the peak hours, and this has been clearly cut by the Modi Government itself. And that is not it, in case you cancel the cab, you will be obliged to pay 10 percent of the fare. The BJP said on a video posted on its official X handle that the vasooli (extortion) squad of the party (BJP) is not letting go of a chance to filch your pocket, shouting at the government’s move.
This was following the issuance of the new Motor Vehicle Aggregator Guidelines (MVAG) 2025 on Tuesday by the Ministry of Road Transport and Highways. Guidelines are supposed to standardise the fares and safety mechanisms of app-based taxi services existing in different states.
The new rules allow the cab aggregators to have a minimum fare, which shall not exceed 50 percent of the base fare, and the maximum dynamic price (2 x base fare) of the base fare made under the sub-clause (17.1). The base fare in itself will be determined by individual state governments under which vehicle it falls, category, and class.
Besides, the guidelines also state that the minimum fare levied must be computed at least three kilometres to ensure that the distance travelled by drivers without passengers and the fuel used to get to the destination to pick up passengers is covered in the computation of the fare.
Although the government emphasizes that the new guidelines provide appropriate remuneration to the drivers as well as a system to control the exploitative low fares, the Congress has called it an added burden to the common man who is already straddled with high petrol rates and daily travel costs. It is forecasted that the guidelines will be adopted in phases in the next few months.
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