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Home»Local News»‘Daylight robbery…unacceptable’: Karnataka transport minister Ramalinga Reddy orders action against app-based auto aggregators for overcharging | Bangalore News
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‘Daylight robbery…unacceptable’: Karnataka transport minister Ramalinga Reddy orders action against app-based auto aggregators for overcharging | Bangalore News

June 29, 2025No Comments4 Mins Read
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Amid rising complaints from commuters in opposition to app-based auto aggregators overcharging put up the bike taxi ban, Karnataka transport minister Ramalinga Reddy has directed the transport commissioner to draft and implement an efficient motion plan—together with allow cancellation and felony instances—in opposition to offending auto drivers.

“Passengers have highlighted a number of violations, together with calls for for higher-than-fixed fares, cancellation of journeys if the inflated fare shouldn’t be accepted, and exorbitant fees. As an illustration, on June 18, 2025, the Rapido Auto app charged Rs 100.89 per km, whereas the identical app charged Rs 184.19 for a 4 km journey. Such blatant overcharging quantities to sunlight theft and is unacceptable. Instant and stringent motion is important,” Reddy famous in a letter to the transport commissioner on Saturday.

He added, “Though the transport division has already booked a number of instances in opposition to auto drivers for fare refusal and overcharging, complaints proceed to pour in from the general public. The cell phone screenshots submitted by commuters function proof of fares exceeding the prescribed limits.”

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As per the auto fare revision in December 2021, the federal government has fastened Rs 30 for the primary 2 km and Rs 15 for each subsequent km. In 2022, the Karnataka Excessive Court docket order additionally capped aggregator commissions at 10 per cent, aimed toward making fares extra inexpensive and clear. As per the excessive courtroom order, app-based auto aggregators are allowed to cost solely 10 per cent above the government-notified fare, plus 5 per cent items and companies tax.

Nonetheless, app-based auto-rickshaw companies (e.g., Ola, Uber, Rapido) have been criticised for non-compliance, with fares typically exceeding Rs 70 for brief rides (e.g., 1.5 km) as a consequence of further fees like surge pricing, congestion charges, pickup charges or optionally available ideas.

The complaints of exorbitant fees have reportedly elevated after the bike taxi ban kicked in from June 16.

Two days in the past, Bangalore Central MP P C Mohan shared screenshots on X highlighting exorbitant auto-rickshaw fees by means of aggregator apps, stating, “A mere 1.5 km experience prices over Rs 70 in Bengaluru due to an entire breakdown in fare regulation. The State Authorities should implement base fares, mandate meter utilization, and protect commuters from app-driven cartels and digital monopolies. Overcharging has already price residents Rs 1,010 crore.”

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He additional famous, “Because the bike-taxi ban, auto fares in Bengaluru have spiked by 50%. A 3 km experience now prices Rs 120–Rs 150, with commuters pressured to pay ‘ideas’ of Rs 30–Rs 100 to keep away from cancellations. With meters largely ignored and digital platforms unchecked, the Authorities should intervene to make sure equity and accountability.” Mohan additionally sought a revision of auto fares, requesting Chief Minister Siddaramaiah to repair the minimal fare at Rs 35.

Revision of auto rickshaw fares sought

In the meantime, the Autorickshaw Drivers’ Union (ARDU) has submitted representations to the Bengaluru City deputy commissioner looking for a revision of auto rickshaw fares in accordance with the rise within the central authorities’s Wholesale Value Index. A number of different auto rickshaw unions have additionally proposed growing the fares in Bengaluru, citing rising operational prices, together with gasoline, spare elements, and car upkeep.

The unions have proposed a base fare of Rs 40 for the primary 2 km (up from Rs 30) and Rs 20 for each subsequent km (up from Rs 15).

“Whereas trustworthy auto drivers are compelled to function at outdated fare charges, their incomes have considerably lowered. This inaction on fare revision has inadvertently allowed a piece of drivers to use the state of affairs by charging arbitrarily excessive, typically double, fares,” Rudramurthy, president of ARDU, mentioned in a letter to the Bengaluru City deputy commissioner final week.

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He added, “In distinction, cities like Udupi, Mangaluru, and Shivamogga revised their charges in 2023 to Rs 40 for the primary 2 km and Rs 20 per km thereafter. In Maharashtra’s main cities like Mumbai and Pune, fares are as excessive as Rs 50 for two km and Rs 25 per km thereafter.”

Rudramurthy additionally famous that in sure elements of the town, passengers are sometimes compelled to pay inflated fees as a result of absence of a legally revised fare construction. He complained that app-based auto rickshaw aggregators have exploited this vacuum by displaying arbitrary and unlawful fares on their cellular platforms, leading to routine passenger exploitation.

“Below the provisions of the Indian Motor Automobiles Act, the State Transport Authority is required to represent a Regional Transport Authority (RTA) to supervise such fare issues. Nonetheless, the deputy commissioner, who by regulation ought to function the chairperson of the RTA, has not been formally appointed, leading to administrative lapses and inaction,” he mentioned.



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