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Thursday, November 28, 2024

What is a fair fare?

INDWhat is a fair fare?


“It’s becoming impossible to make ends meet. The last fare revision was three years ago, and since then, everything has become more expensive — fuel, spare parts, and my basic living expenses. But our fares? Still the same!” laments Shashidhar K., an autorickshaw driver from Hulimavu in south Bengaluru. Frustration is palpable in his voice as he describes the ever-increasing financial strain.

“We have no choice but to stop using the meters and set our fares or rely on aggregator apps. Although these apps charge us a hefty commission, at least the fares we get are better compared to the standard meter rates,” he adds.

This sentiment is echoed by thousands of autorickshaw drivers across Bengaluru, who are urging the State government to increase the minimum fare, which was last revised on December 20, 2021.

The demand for fare revisions

The Auto Rickshaw Drivers’ Union (ARDU) has been vocal about the need for a fare revision. T.M. Rudramurthy, a representative of ARDU, explained, “The fare revision in 2021 came after a long gap of eight years. Given the rate of inflation, we cannot wait another decade. The current fare structure simply doesn’t reflect the reality of our expenses.”

Currently, the minimum fare in Bengaluru is ₹30 for the first two kilometres, followed by ₹15 for each additional kilometre. Drivers say this is no longer enough to cover the costs of operating their vehicles, particularly when traffic congestion limits them to an average of only 70 kilometres per day, reducing the number of trips they can make. “Between the fuel prices, rising maintenance and spare part costs, insurance, and long hours on the road, we are barely getting by,” adds another driver, Vinod Kumar from Kamakshipalya, who has been driving in the city for over a decade.

While drivers often face criticism for charging according to their own whims, they complain of a significant decline in their real earnings when adjusted for inflation.

The Adarsh Auto Union has proposed increasing the fare to ₹40 for the first two kilometres and ₹20 for each additional kilometre. L. Manjuntha, a member of the union, explains, “The current CNG price is ₹83 per kg, compared to around ₹50 to ₹60 in 2021. However, rates have not been adjusted to compensate for the increase in fuel costs. In Bengaluru, nearly all autos run on CNG, though electric ones are becoming more common. While e-autos don’t have high fuel costs, they are much more expensive to purchase, costing between ₹4.70 to ₹5 lakh compared to ₹2.35 lakhs for a CNG auto.”

Auto drivers are demanding that the government amend the laws that govern fare revisions. Section 67(i) of the Motor Vehicles Act requires fares to be fixed “from time to time,” but the lack of clarity around the frequency of these revisions has left drivers at a disadvantage. The ARDU has urged the government to revise fares annually by linking them to the wholesale price index to ensure that fares keep pace with inflation.

Meanwhile, most drivers have resorted to alternative strategies to make up for their stagnant incomes, including not using meters and charging passengers based on their discretion. This has led to growing tension between drivers and passengers, with many commuters feeling they are being unfairly overcharged.

Ritu S., who travels frequently from Kengeri, said, “I understand the drivers’ challenges, but it’s hard to know if the fare is fair anymore, especially when meters are rarely used. It has become normal for drivers not to use meters.”

Increasing complaints

It has become increasingly common for people to complain about drivers demanding extra money. The Bengaluru Traffic Police reportedly receive 20 to 25 calls daily on their hotline related to autorickshaw grievances.

As of July 31, 2024, the BTP had registered 2,586 complaints against drivers for refusing to take passengers and 2,582 for overcharging. These figures surpass the total number of such cases booked in 2022 and 2023. In 2022, the traffic police recorded 2,183 cases for refusal of hire and 2,179 for demanding excess fare, while in 2023, they booked 1,537 and 1,599 cases, respectively.

BTP officials attribute the rise in cases in 2024 to frequent enforcement drives targeting auto drivers. Joint Commissioner (Traffic) M.N. Anucheth said, “Every day, we conduct special drives, most of which this year have focused on drivers due to numerous public complaints. We deploy decoys who request rides, and if drivers refuse or demand extra fare, we immediately book a case.”

He also noted an increase in public reporting of such incidents. While not all reports result in formal complaints, citizens often provide the registration numbers of the offending autorickshaws, and the police take appropriate action.

While app-based aggregators offer the convenience of booking through an app and avoiding haggling over fares, the overall cost can be higher than taking a traditional metered auto.
| Photo Credit:
K. MURALI KUMAR

The Rise of Auto Aggregators

Many passengers have turned to app-based aggregators for convenience. These platforms promise transparent pricing and easier access to autos, yet they present their own set of challenges for both passengers and drivers.

One of the key issues drivers face is the commission taken by these aggregator platforms, which can range from 20% to 30% of each fare. “We are losing a significant chunk of our earnings to the companies, but we have no choice. If we don’t sign up with them, we lose out on business,” explains Suresha H.A., who uses multiple platforms. He added that while aggregators provide more consistent rides, the high commission rates make it difficult to earn a profit consistently.

For passengers, app-based autos are a mixed blessing. While they offer the convenience of booking through an app and avoiding haggling over fares, the overall cost can be much higher than taking a traditional metered auto. “I used to prefer app-based autos because it was easier, but now I feel I am paying more than I should,” says Deepa K., a resident of Indiranagar.

Madhuri Rao, a tech professional from Sanjaynagar, feels aggregators offer a better experience compared to autos with meters. She appreciates the convenience of doorstep pickup and the added safety features, as the driver’s details are available on the phone, allowing her family to track her location. In contrast, while meter autos may be cheaper, getting one can be a hassle. “You have to stand by the road, asking multiple drivers if they will take you. After several rejections, and sometimes paying ‘one and a half’, you might find one willing to go,” she says.

However, Madhuri also points out the downsides of aggregator apps. “Though they are convenient, there’s no control over the fares, especially surge pricing. The government should step in to regulate these platforms and ensure they don’t overcharge passengers,” she adds.

What experts feel

Traffic experts agree that more frequent fare revisions could help mitigate many of the issues faced by drivers and passengers. M.N. Sreehari, a traffic expert, says, “Regular fare revisions could help reduce the widespread issue of drivers refusing rides. Many commuters complain about drivers not using the meter. Annual fare revisions would likely decrease complaints related to overcharging and refusal of rides.”

In addition to fare revisions, experts suggest more stringent enforcement of regulations to help alleviate the problem of drivers refusing to use meters. “The government needs to ensure that there are stricter penalties for drivers who don’t use the meter or who overcharge passengers. They should also regulate the auto and cab aggregators,” Sreehari added.

Transport Minister Ramalinga Reddy said while the government has not yet received any formal communication from ARDU or other auto unions regarding their demand for a fare revision, he is open to considering the issue. “Annual fare revisions may not be feasible, but we could look into revising fares every two or three years. We will review any letters or complaints received from auto drivers and consult with the Tansport Department,” he said.

A Look at other cities

Compared to Bengaluru, other major cities in India have varied approaches to autorickshaw fare regulation. In Delhi, where approximately 1 lakh autos operate, the government last revised fares two years ago, setting them at ₹30 for the first 1.5 km, with many drivers negotiating fares instead of using meters.

Mumbai regulates its vast fleet of 2.55 lakh autos strictly, with a minimum fare of ₹23 for the first kilometre and ₹15 thereafter, with higher tariffs at night. This regulated system contrasts with Bengaluru’s sporadic system. Hyderabad, with over 1.1 lakh autos, has not updated its fare structure in a decade, compelling drivers to negotiate rates, presenting a situation worse than in Bengaluru.

Chennai recently revised its fares to ₹25 for 1.8 km and ₹12 for each additional kilometre in 2023, but complaints persist about drivers not adhering to official rates. In Bengaluru, the minimum fare of ₹30 for the first 2 km is similar to that of Delhi, but regular fare revisions are a common demand in both cities. Meanwhile, app-based aggregator platforms have complicated fare structures in all these cities, with Bengaluru drivers also relying on them despite the high commission charges.

(With additional inputs from Alisha Dutta in New Delhi, Snehal Mutha from Mumbai, Srikanth R. from Chennai, and Syed Mohammed from Hyderabad.)



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