Ola and Uber to discontinue carpooling services in Bengaluru, India
The Karnataka Transport Department has directed Ola and Uber (cab services) to stop carpooling services in the city of Bengaluru with immediate effect along with removal of the same from their smartphone application.
"Action will be taken against Ola and Uber if they continue to feature the carpooling option. It's not permissible under the present Act. We will write to the government to take a decision on carpooling services. Till then, such services will be illegal," VP Ikkeri, Transport Commissioner told ET.
The decision was taken in a meeting with the representatives of Cab aggregators and cab drivers. While Ola and Uber taxi drivers have welcomed the decision, it will probably discomfort the customers who have been dependant on the service which was popular for being a cheaper alternative.
Tanveer Pasha, president of Ola, Uber and TaxiForSure drivers and Owners Association said, "Carpooling option is widely used, but the money earned is not even enough to meet the expenses incurred by cab drivers. Picking several passengers from different places is of no use for cab drivers as it's not worth the effort."
Source - ETAuto