BENGALURU: Ride hailing app Uber has said that it may have to to limit Uber Auto to select parts of the city where the service is viable stating that its platforms will not be able to operate with a 10 per cent commission.
The official website of Uber mentions the possibility of limiting Uber autorickshaw services for its customers in the city. Nitish Bhushan, Head of Central Operations, Uber India and South Asia, in a blog post on Tuesday, noted that the e-hail auto sector in Bengaluru is under a cloud and Uber is operating under a stay order granted by the Karnataka State High Court after the state government announced a ban on aggregators running autorickshaw services.
In the blog, he also mentioned that the current fixed meter fare does not compensate drivers for the additional distance travelled and the time spent picking up the customer from their doorstep. Data is already pointing towards driver cancellations having increased by over 50 per cent and this will lead to poor customer experience, he noted.
The blog also mentioned that Uber platforms will not be able to operate with a 10 per cent commission and that they have to make the difficult decision of limiting Uber Auto to select parts of the city where the service is viable. The blog also says that Uber will work with the government on appropriate fare regulations.