Over 80% consumers support govt's move to cap surge pricing for online taxi platforms: Survey

About 81 per cent consumers support union government's move to cap surge pricing for online taxi booking platforms like Ola and Uber at 1.5 times of base fare, according to a survey report by online platform Localcircles.

Consumers in the survey supported Motor Vehicle Aggregator Guidelines 2020, including the clause to impose a penalty of Rs 100 on drivers if they cancel the ride.

"The survey that collected responses from more than 16,000 consumers states that 81 per cent approve of the 1.5 times surge pricing cap and the clause of penalty of up to Rs 100 if the driver cancels a ride," the survey report said.

The guidelines were released on November 27, after which Localcircles did a survey across 219 districts, covering 16,585 respondents.

"Many consumers discussed this becoming a ground reality and urged the various state governments across the country to operationalise these guidelines at the earliest," Localcircles founder and chairman Sachin Taparia told PTI.

In a survey done last year, Localcircles had found that consumers were facing 5-10 times rise in online taxi ride pricing.

The survey this year found that 55 per cent citizens were unable to speak with app taxi customer service in case of an emergency or need.

"83 per cent citizens say app taxis should not be permitted to apply surge pricing on advance or scheduled bookings," the report said.