Chandigarh: Prepare for more pricing issues as taxi and car fares rise

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A day after the UT administration notified the water rate hike, it also increased the user fees for taxi and automobile services in the city.

The revised fares are categorized according to whether taxis and cars run within the city or outside the station. These will not be applicable on taxi aggregators like Uber and Ola.

Taxi fares in Chandigarh have never been increased since 2013, while long distance fares were last revised in 2015.

Under the revised fees, hiring an AC taxi for local travel will now cost 34/km instead of 23/km, while a taxi without air conditioning will charge 25/km instead of 17/km.

For car radios, the price has gone from 15/km to 20/km, and a ride in an ordinary car will cost 19/km instead of 16/km. Similarly, the fares of different types of taxis have also been revised when hired for up to eight hours or 80 km journey, inside Chandigarh and outside the city. (See box)

“We created a formula, after taking into account the averages of fuel, wages and maintenance costs, to set the rates. Through the formula, fares will be reviewed annually at the start of the new fiscal year,” said Nitin Kumar Yadav, UT Home and Transportation Secretary.

He added that these tariffs were only applicable on taxis and automobiles registered with the Chandigarh administration. Similar vehicles registered in other states, such as Punjab and Haryana, are governed by the tariffs stipulated by their respective governments.

“Similarly, these will not be applicable on taxi aggregators like Uber and Ola. For these, a separate notification will be issued,” Yadav said.

There are over 6,000 cars registered in Chandigarh, while around 500 drive into the city from Panchkula and Mohali.

These rates are applicable only on taxis and cars registered with the administration of Chandigarh. (excl. tax)

Stricter compliance

The administration will introduce a new mechanism to enforce prescribed rates for automobiles and taxis. “We want to make sure people have a clear idea of ​​costs and charges. Tariffs must be reasonable for both consumers and service providers. This will encourage compliance,” Yadav said.

The imposition of reasonable tariffs will also allow the administration to implement the use of prepaid meters. “As in our bus service, we will try to evolve towards the prepaid system. Nodal centers will be established to distribute coupons or tickets that can be used according to the passenger’s needs,” he added.

“We will also be introducing an app-based system to better monitor compliance with prescribed fares. We will randomly inspect cars and taxis for better implementation, and the grievance mechanism will also be strengthened,” the Transport Secretary said.

On the rise, Hitesh Puri, Chairman of the Chandigarh Residents’ Association Welfare Federation (CRAWFED), said, “It is understandable as the cost of running taxis and cars is increasing day by day. But the administration should have onboarded residents before imposing an additional financial burden, which comes just a day after the water tariff hike.

Meanwhile, the chairman of the Chandigarh Taxi Owners Association, Ramesh Ahuja, said: “We welcome the increase in fares but these will mostly be inconsequential to us. There is very strong competition in the market, which forces us to charge reasonable rates. »

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