Karnataka government to release an app similar to Ola-Uber by February
By MYBRANDBOOK
By February 2024, the Karnataka government plans to release a ride-hailing app that will be comparable to Ola and Uber. Karnataka e-Governance suggests that the state transportation department contract out the creation and upkeep of the application; Ramalinga Reddy, the Minister of Transportation, said specifics would be finalized following a meeting with relevant stakeholders.
According to the minister, the app will work on a no-profit, no-loss model.
"We are making preparations for the launch, but it's still early days," he told DH. "Discussions on funding and maintenance are still ongoing. We will make an announcement in January."
The minister is keen that the government launch a mobile phone app that offers cab and auto rickshaw rides.
In Bengaluru, the auto and cab drivers are upset with the ride-hailing companies as they charge huge commissions for facilitating the rides. Reddy said a bill he checked showed that the aggregator had taken Rs 350 out of the total fare of Rs 800.
In September, when private transport vehicles went on a strike, one of their 32 demands was to restrain Uber and Ola from charging "illegal" cab fares. The firms are also accused of disobeying a court order on auto fares.
Earlier, Reddy announced that to solve the problem of "unfair" commissions, the government would introduce its own app.
The Auto Rickshaw Drivers' Union (ARDU) recently slammed Namma Yatri for trying to keep it out of the app's management.
In November 2022, Namma Yatri was launched and has a 25% market share in Bengaluru. It has tried to distance itself from the ARDU, which claims to represent 32,000 drivers and was part of the app from the start.
Namma Yatri, owned by Juspay Technologies, said it "collaborates with over one lakh drivers, the majority of whom are not affiliated with any union".
The ARDU called for running the app as a digital cooperative.
"Namma Yatri is currently purely corporate-led and, we as its co-creators, have no specific role in its ongoing and future management," it said and asked for including inception stakeholders in the management.
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