Fresh Committee to review auto, taxi fare hike in Mumbai

Mumbai: Days after the auto-rickshaw and taxi fares were hiked by a rupee in the Mumbai metropolitan region, state transport minister Diwakar Raote on Thursday formed a new committee to reconsider the raise. However, the commuters will have to continue paying the additional charges for at least six months till the new panel submits its report.

“I have constantly been receiving complaints that the fare hike was not required and it will put a extra burden on the common man. After studying basic facts, I realised that autorickshaw and taxi fares have been increased by 50 per cent in the last 5 years, but there has not been a corresponding increase in the salaries of the working middle class,” Raote told reporters in Mumbai.

He said the hike in tariff was based on the Hakim Committee formula that takes into account several factors like fuel price hike in the past one year, the increase in costs of maintenance and repairs, capital costs, taxes and insurance and most importantly, the cost of living index.

“There seems to be discrepancies in the factors that the Hakim panel takes into account while deciding fare hikes. Thus, I have decided to constitute a new three-member committee consisting of a former high court justice, a finance expert and a former transport commissioner to reconsider the fare hike,” Raote said.

He added that commuters will have to continue paying the additional charges till the new committee submits its report within six months. “The new fares will come into effect anyway after about two months when the autorickshaw and taxis recalibrate their meters. Thus, commuters will not have to bear the burden for a long time,” the minister said.

PTI