Business

Centre issues guidelines for cab aggregators, surge pricing capped at 1.5X base fare

Updated : November 27, 2020 01:54 PM IST

A mandatory break of 10 hours will be imposed after completion of 12 hours of duty.

The driver of the vehicle shall receive at least 80 percent of the fare applicable on each ride.

The union road transport ministry on Friday issued guidelines for motor vehicle aggregators and has directed aggregators to cap surge price at 1.5 times the base fare.

"While issuing the licence to an aggregator, the state government may follow such guidelines as may be issued by the central government," the notification read.

The guidelines are related to fares, drivers, licence, and other areas related to cab aggregator service. Here are some of the key points.

Licence granted shall be valid for a period of five years.
The aggregator shall arrange for a driving test facility with a simulator and a set-up for conducting an induction training programme.
The driver should have a valid proof of identity and should have a minimum driving experience of two years or shall undertake a driver training of 15 days facilitated by the aggregator.
The driver of the vehicle shall not have been convicted for the offence of driving under the influence of drugs or alcohol or any other cognizable offence over the last three years.
Complete police verification of the identity of the driver and his or her antecedents with a written record of such verification prior to 15 days of onboarding.
A driver cannot be logged in for a total of 12 hours on a calendar day. A mandatory break of 10 hours will be imposed after completion of 12 hours of duty.
Aggregators must examine and keep updated records of the driver's photograph, driving licence, residential address along with proof, KYC bank account details, self-attested copies of Aadhaar or voter card or PAN card, contact details of two members from driver's family among others.
The vehicle in use should have a valid fitness certificate, valid pollution under control certificate and other documents.
The data generated on the app is stored on a server in India and that such stored data shall be for a minimum of three months and maximum 24 months from the date of generation.
The base minimum fare chargeable to customer availing aggregator services shall be for a minimum of 3 km.
The aggregator shall be permitted to charge 50 percent lower than base fare and maximum surge pricing to be capped at 1.5 times the base fare.
The driver of the vehicle shall receive at least 80 percent of the fare applicable on each ride. The state government may direct 2 percent over and above the fare towards the state exchequer for amenities and programmes related to aggregator operated vehicles.
The State Government shall have the power to conduct search and investigation of the Aggregator’s premises, as specified in Form I of these Guidelines, for the effective implementation of these Guidelines.
The State Government shall provide access to the VAHAN and SARATHI portal operated by the Ministry of Road Transport and Highways, Government of India to enable the Aggregator to update the details of vehicles and Drivers integrated with the App.

Centre issues guidelines for cab aggregators, surge pricing capped at 1.5X base fare

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