Amit Shah unveils Sahkar Taxi to boost driver earnings amid Ola, Uber pricing probe

Union Home Minister Amit Shah, on Thursday, announced in Parliament that the government is set to introduce ‘Sahkar Taxi’, a cooperative-based ride-hailing service aimed at benefiting drivers directly.

This service will allow cooperative societies to register two-wheelers, taxis, rickshaws, and four-wheelers. Shah also mentioned that ‘Sahkar Taxi’ aims to generate more jobs while boosting driver earnings, positioning it as a government-backed alternative to private ride-hailing services.

Unlike app-based platforms such as Ola and Uber, ‘Sahkar Taxi’ will ensure that profits go straight to the drivers by removing intermediaries. Shah linked it to Prime Minister Narendra Modi’s vision of ‘Sahkar Se Samriddhi’ (Prosperity through Cooperation).

He said, “In a few months, a major cooperative taxi service will be launched, ensuring direct profit flow to the drivers.” He added that the Ministry of Cooperation has worked for three and a half years to bring this initiative to life, stating, “This is not just a slogan.”

The move comes as Ola and Uber face scrutiny over allegations of discriminatory pricing. The Central Consumer Protection Authority (CCPA) issued notices to both companies after reports showed ride fares differing based on whether a user booked through an iPhone or an Android device.

Ola denied the claims, saying, “We have a uniform pricing structure for all our customers and do not differentiate based on the operating system of the user’s cellphone for identical rides.” The company also noted it had provided clarifications to the CCPA.

Uber rejected the accusations as well, stating, “We do not set prices based on a rider’s phone manufacturer.” A spokesperson added, “We look forward to working with the CCPA to resolve any misunderstanding.”

Consumer Affairs Minister Pralhad Joshi called such differential pricing an “unfair trade practice.” He announced that the government would investigate pricing strategies in other sectors, including food delivery and online ticketing platforms, to protect consumers from exploitative practices.

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