New Changes for Ola and Uber; The Ministry of Road Transport and Highways set the Rules!! 

The Ministry of Road Transport and Highways issued guidelines to regulate cab aggregators. 
 
Due to the occasional reports heard that those apps surging prices by three times the base fare, getting away with ill-equipped drivers, and functioning unchecked for years.  
 
The Ministry of Road Transport and Highways defined aggregator as “a digital intermediary or market place for a passenger to connect with a driver for transportation.” 
 
The new changes are taking place as follows; Hereafter, the cab drivers cannot charge more than 1.5 times the base fare. Aggregators will have to provide the women-only option for female passengers. The payment of the ride would be split 80/20 which means that drivers would obtain 80% of each fare and aggregators can receive a maximum of 20% of the fare. If the ride gets canceled, the canceling party will have to pay 10% of the fare, with Rs. 100 as the maximum amount payable. All vehicles must have contact with a 24x7 control room set up. The app must be available in Hindi, English, and the regional language of the states.  

Every driver must be provided with health insurance of a minimum of Rs. 5 lakh, with the amount increasing by 5% every year, Lastly, the drivers will also have to undergo yearly refresher training, applying first-aid, using the app properly, maintenance of the vehicle, and being up to date with the Motor Vehicles Act.  

Ashish Modani, vice president of the ICRA said, ''New guidelines will help in clearing uncertainty regarding the regulation of cab aggregators in India. India, being one of the largest markets globally, has huge long term potential and it will continue to attract investment from global players,”. 
 

 

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