Commuters in the national capital will not be required to pay surge prices during peak hours and festivals with the launch of a new app-based cab service started by the cab drivers of Delhi-NCR.
SEWA CAB service — started by Chaalak Shakti — a union for the cab drivers will be functional from April 7. Those operating this service claim that it will bring transparency in the fare chart charging comparatively less than Uber and Ola.
The app-based cab service will also give additional advantages to the commuters with free rides if they are regulars in availing the service.
"There will be no surge price for the commuters even if there are lesser cabs or even during odd hours of the day. However, customers will be required to pay the same amount for the distance that they have been travelling," said Anuj Rathore, a leader of Chaalak Shakti said.
The technology also claims to have a 'hail and go' feature which allows a passenger to hail a taxi on the street just like an auto-rickshaw. When a passenger boards the vehicle, the driver will ask for his mobile number and feed it into the fare meter built into the driver's app. The meter will then start immediately.
Some commuters seem to be happy with this development, saying that the new policy would help do away with the monopoly of Uber and Ola and that people would be charged fairly.
"Most times I feel that the cabs and auto drivers overcharge because of the unavailability of cabs and so they impose surge pricing. I hope that the new service would change this practice and charge us according to the distance covered instead of additional charges," said Vanshika Ahuja, a third year student of Delhi University.
"It is a very good move. Many times we end up paying more than the actual price because the cabs over charge. But we have to avail of the services because there is no other alternative," Kirti Kamra, a marketing professional said.
The new service comes after around 3,000 cab drivers alleged that they have been cheated and gradually exploited by the app-based cab services.
"When Uber and Ola came, they wanted to take over the market and invested a lot of money to lure the people and also the drivers by giving them subsidies and perks.
"But after establishing themselves, they have imposed a lot of penalties on us. Our incomes have decreased drastically and it is becoming difficult for us to even pay the rent of our cars. We are also having problems to pay the fees of our children and buy essential amenities for our homes," said a cab driver who did not want to be named
The rates of the new app-based service would be Rs 7 per kilometer. The registration of the cabs would start from March 17 and would close on March 31 March. Following this, an intensive soft skills programme to drivers would also be provided.
Explaining the perks for commuters, Sahdev Panchal, another leader of the union said, "While Ola and Uber charge a commission of 27 per cent amounting to Rs 12,000 to Rs 20,000 per month from the drivers, Sewa Cab will charge a fixed monthly fee of Rs.700.
"The fare will be collected in cash initially but wallet payment system will be introduced soon. Moneys for all wallet transactions will also go directly into the cab driver's account instead of routing it through the union," he said.
The new app has been welcomed by some cab drivers who feel that they have been unfairly treated by Uber and Ola. These drivers, who drive with Uber and Ola, claim their monthly income has come down from Rs 1.5 lakh to Rs 20,000 making it difficult for them to meet even their daily expenditure.
"We have been cheated and exploited. Tall claims and promises were made by Uber and Ola but then now they have started showing their true colours. Initially, we got incentives like an extra Rs 1,200 after we completed five rides and Rs 2,500 after nine rides and this amount was exclusive of fares.
"But now we have to pay 25.6 per cent commission leaving nothing for us at the end. I got my children admitted to private schools when I started earning more, but now I am facing problems to meet those expenses," alleged Pawan, a driver who has joined the new platform.
Functional only in the national capital as of now, the new service will be available on Android and Apple and then will gradually become available in other cities of the country.
Last month, several cab drivers working for Uber and Ola had gone on strike demanding a fare hike from Rs 6 per kilometer to Rs 21 per kilometer.
