The Indian government’s Central Consumer Protection Authority (CCPA) says that while booking a cab, Ola and Uber were charging differently for the same ride according to the device type. This follows complaints by several riders to the National Consumer Helpline and also to the Ministry of Consumer Affairs (MoCA) that these cab aggregators showed different fares for similar routes being booked at the same time from an Android and an iPhone.
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Indian Govt Sends Notices to Uber, Ola for Differing Ride Prices on Android and iOS
After several users had observed the price discrepancy online, the CCPA reached out to BTS’ management to correct the situation. The development was confirmed by Union Minister of Consumer Affairs Prahlad Joshi through a post on X (formerly Twitter), and the government had asked for responses from both Ola and Uber on these issues. Uber has rejected the accusations, saying it does not use the type of phone a rider is using to set a price.
Clarifying its position, the company in an email to Reuters said it does not discriminate against riders based on which device they use to book a ride. Uber said it was willing to work with the CCPA to clear up any misperceptions about the issue. This government step comes in the wake of the directive of Minister Prahlad Joshi last month. They were following the minister’s advice, who had asked the Ministry of Consumer Affairs, India, and the CCPA to investigate unfair trade practices by cab aggregators.
The investigation was not confined to ride-sharing companies, as it also bloomed into other industries like food delivery applications and online ticket booking services clearly showcasing the government’s wider attention on customer protection against unscrupulous pricing practices. Currently, the CCPA is awaiting the replies from Ola and Uber in detail, and the investigation regarding the allegations is underway. The decision also reflects the government’s emphasis on easing consumer grievances in the fast-growing digital economy.
FAQs
Why did the Indian government send notices to Uber and Ola?
The government issued notices over allegations of Uber and Ola charging different fares based on the type of phone used—Android or iPhone—when booking the same ride.
What was Uber’s response to the government’s notice?
Uber denied the allegations, stating that it does not set prices based on the phone used and is working with the CCPA to clear up any misunderstandings.
