Karnataka HC asks State Govt to convene meeting with Ola, Uber to reach consensus on fare

BENGALURU: The Karnataka High Court on Thursday asked the state government to convene a meeting in the afternoon with taxi aggregators to explore the possibilities of reaching a consensus on the fare to be fixed for autorickshaw services through their apps.

Justice MGS Kamal issued the directions after the Advocate General agreed to hold another round of meeting with taxi aggregators on the issues while adjourning the hearing of the petitions filed by ANI Technologies Private Limited, which offers service through the Ola app and Uber India Technologies Private Limited, till October 14, 2022.

Meanwhile, Advocate General Prabhuling K Navadagi argued that both taxi aggregators have admitted in the meeting that they cannot offer autorickshaw services through their apps. But the counsel of the petitioners pointed out that the proceedings of the meeting do not have the signatures of the representatives of the petitioners.

Both companies have questioned the order passed by the Transport Department to stop offering autorickshaw services through their apps and also the claim of the state government which allows only the cars through their apps.

Contending that autorickshaw was included under the definition of 'taxi' in Karnataka On-Demand Transportation Technology Aggregators Rules, 2016, the petitioners have contended that they have a right to collect service charges for offering value-added services and there is no restriction in the rules to collect such charges.

Senior counsel, who argued on behalf of Ola, submitted that Ola is charging Rs 19 as a service charge for autorickshaw service in addition to the amount which is paid to the autorickshaw drivers and service charges for cars depending on the type of the car availed by the customers.

Another senior counsel, representing Uber, argued that the action of the state government is contrary to the order passed by the division bench of the high court in December 2016 asking the government not to take any coercive action against the aggregators for violation of Rules, 2016, during the pendency of appeals.

The counsels argued before the court that their clients had obtained license under the Rules in 2016 and their applications for renewal of license submitted in 2021 are still pending before the authorities of the transport department.

Both the petitioners have questioned the validity of the Karnataka On-Demand Transportation Technology Aggregators Rules, 2016, which allows only offering car service through their apps and not autorickshaws.