UberPool, Ola Share ride-sharing services to be banned in Karnataka from Monday

Ride-sharing services from Ola and Uber are now facing a ban in Karnataka. The state’s transport commissioner insists that the service is illegal.

Ride-sharing services from Ola and Uber are now facing a ban in Karnataka. The state’s transport commissioner insists that the service is illegal. The ban will take effect from Monday.

FactorDaily reports that Karnataka’s laws do not allow taxi owners to make multiple pickups en-route. Taxis are only permitted to pick up customers at the source and dropping them off at their destination.

Karnataka Transport Minister M K Ayyappa has informed Ola and Uber that Ola Share and UberPool services will have to be halted from Monday. There is no word on whether a revision to the law is being considered.

Many states, including Maharashtra, are very much in favour of ride-sharing services because of the reduction in travel costs as well as road congestion. However, we’d like to point out that Maharashtra’s draft proposal on taxi services is openly hostile to app-based cab-aggregator services and is pending approval with Maharashtra’s Chief Minister.

That said, in a very customer friendly move, Karnataka has banned surge pricing in the state and the Maharashtra government is also considering implementing such a policy.

Ola and Uber drivers are also protesting the commission that their respective employers charge them. Currently, drivers are charged a 20-25 percent commission and additionally, have to cough up a portion of their earnings. If reports are to be believed, Ola and Uber management are not concerned about the strike.

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