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Ola, Uber and Rapido Under Scrutiny as RTA-Approved Fares Spark Price Controversy in Pune

Written by: Team Angel OneUpdated on: 23 Jul 2025, 6:55 pm IST
Ola, Uber & Rapido asked to justify trip rates as RTA-backed fares could raise Pune cab costs to ₹249.50 for 10 km, triggering commuter complaints.
Ola, Uber and Rapido Under Scrutiny as RTA-Approved Fares Spark Price Controversy in Pune
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The Maharashtra transport department has directed Ola, Uber and Rapido to explain fare calculation methods, as RTA-approved pricing could significantly increase cab fares in Pune, causing passenger frustration and driver unrest.

New Fare Directive to Impact Pune Commuters

As per news reports, the state’s transport commissioner has instructed app-based ride aggregators Ola, Uber and Rapido to provide a written explanation on how trip fares are calculated. This comes amid driver strikes and public criticism over pricing disparities. In Pune, the Regional Transport Authority (RTA) approved base fares of ₹75 for the first 3 km and ₹25 per km thereafter. With this, a 10 km ride may now cost ₹249.50, compared to the existing average of ₹175 via Uber Go, excluding surge.

Driver Discontent and Fare Manipulation Allegations

Driver unions allege that many cab drivers face ID deactivations for charging only RTA-sanctioned fares, prompting a demand for reinstatements. According to sources, drivers claim high commission cuts and non-transparency in fare calculations. The Indian Gig Workers’ Front had previously paused a statewide strike, with further action uncertain pending aggregator responses to official queries.

Public Backlash and Passenger Complaints

Commuters are voicing frustration over arbitrary fare hikes and lack of fare consistency across platforms. Complaints raised on social media detail drivers demanding inflated payments, often cancelling trips to enforce offline negotiations. Instances of passengers being asked ₹700 for a ₹295 fare are becoming more common, despite official regulations.

Read More: Ola, Uber, Rapido Can Charge Double During Peak Hours; Bike Taxis Legalised!

State vs Centre: Policy Conflicts Over App Cab Pricing

The fare dispute also reveals a broader conflict between state and central policies. While the Centre allows surge pricing up to 50% of a ₹48 per km base rate, Maharashtra’s draft guidelines enforce a stricter fare cap. This divergence may delay consensus, affecting both aggregator compliance and passenger charges.

Conclusion

The demand for fare transparency from Ola, Uber and Rapido underscores rising tensions between ride platforms, drivers and passengers. With RTA-approved pricing expected to significantly raise trip costs, how aggregators adapt could reshape travel affordability in Pune going forward.

Disclaimer: This blog has been written exclusively for educational purposes. The securities or companies mentioned are only examples and not recommendations. This does not constitute a personal recommendation or investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in securities are subject to market risks. Read all related documents carefully before investing.

Published on: Jul 23, 2025, 1:25 PM IST

Team Angel One

Team Angel One is a group of experienced financial writers that deliver insightful articles on the stock market, IPO, economy, personal finance, commodities and related categories.

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