Uber served notice for overcharging passengers in Chandigarh

According to the notification, AC taxis can charge ₹23 per km, and night charges of 25% more between 11pm and 5am.

Taking note of complaints of overcharging by cab aggregator Uber, the State Transport Authority (STA) has issued the firm a notice, asking for a reply in seven days.

Nearly 6,000 web-based taxis, mostly attached with Ola and Uber, ply in the city. (Reuters)

While the UT Administration notified fixed rates for various kinds of web-based taxis and auto-rickshaws operating in Chandigarh in 2017, Uber has been charging higher fares from commuters, particularly through surge pricing.

According to the notification, AC taxis can charge ₹23 per km, and night charges of 25% more between 11pm and 5am. However, Uber has been using a different fare model, which besides a per km fee, also charges the passenger a per minute fee and a base fare.

Nearly 6,000 web-based taxis, mostly attached with Ola and Uber, ply in the city.

In a written complaint to STA, Simranjit Singh, a resident of Sector 45, stated that Uber charged him ₹49 for 2km instead of ₹46. Another complainant, Gopal Krishan of Phase 11, Mohali, complained that Uber charged him ₹150 for five km during surge, which could have been ₹115.

“We have issued Uber a notice, and asked them to reply within seven days. If the reply is not satisfactory, we will challan their vehicles, and take action against the company for not adhering to the directions of the UT administration,” said Rajeev Tewari, additional secretary, STA.

Speaking to HT, an Uber spokesperson in Delhi said, “We are continuing to engage with relevant authorities on the matter and are committed to providing convenient and affordable rides to people of Chandigarh while ensuring stable earning opportunities for our driver partners.”