Uber, Ola will have to fall in line as Karnataka govt fixes uniform fare for taxis

New department order mandates uniform fares for app-based cab aggregators and city taxis in Karnataka, effective statewide immediately.

City taxis and those operating through app-based aggregators like Uber and Ola will now have to follow the new fare structure announced by the Karnataka Transport Department.

According to the new fare structure, cabs have been categorised into three classes based on the cost of the vehicle. (Representational Image)

With this new order released by the department on Saturday, fares for app-based cab aggregators as well as city taxis would be uniform and the revised fares would be applicable across the state with immediate effect.

Prior to this, the fares were different for the two categories of taxis. According to the new fare structure, cabs have been categorised into three classes based on the cost of the vehicle. For vehicles whose purchase cost is ₹10 lakh or below, the minimum fare has been fixed at ₹100 for up to four km with a charge of ₹24 for every additional km.

For those costing between ₹10 lakh and ₹15 lakh, the minimum fare is ₹115, and per km cost ₹28. For those costing above 15 lakh, minimum fare is set at ₹130 with ₹32 charged for each additional kilometre. The order clearly states that no cab aggregators will be allowed to collect extra charges.

As for waiting charge, the first five minutes is free, after which passengers would be charged Re 1 for every minute. In addition, app-based aggregators can collect five per cent GST as well as toll charges from the passengers, the new order states. For cabs booked between 12 am and 6 am, operators can charge an extra 10 per cent, it stated.