June 22, 2018
Bengal Govt to examine surge pricing mechanism by app cab companies
The Bengal Government has decided to frame rules for fares of app cabs. This decision comes after regular complaints by passengers about arbitrary increase of fares on the basis of ‘surge pricing’, a term used to describe increase in prices during certain times of a day according to demand.
Due to surge pricing, fares can be even three to four times the normal fare.
The Transport Department has decided to examine issues related to surge pricing in detail. It has sent a questionnaire of 30 questions to Ola and Uber. The questionnaire includes queries like how surge pricing is determined and whether the companies have transport experts who determine the pricing mechanism.
This effort by the department is expected to bring relief to many harried commuters.