
Lok Sabha member Manish Tewari has demanded urgent action from Chandigarh authorities over steep cab fare hikes following the suspension of major app-based aggregators. In a social media post on Monday, Tewari…
Lok Sabha member Manish Tewari has demanded urgent action from Chandigarh authorities over steep cab fare hikes following the suspension of major app-based aggregators. In a social media post on Monday, Tewari called the current pricing extractive and bordering on extortion, and said he has raised the issue with the state transport authority head and senior officials. He urged a negotiated solution to protect commuters from bearing the cost of the dispute between aggregators, drivers and the administration.

The fare surge follows the six-month suspension of Uber and Rapido licences by the UT administration earlier this month, adding to earlier suspensions of Ola and inDrive. Bharat Taxi has become the main alternative operator, but passengers report fares doubling on short routes, with a ₹100 ride now costing up to ₹200. A retired Brigadier and Shaurya Chakra recipient called the overcharging daylight robbery.
The dispute stems from Chandigarh's Motor Vehicles Aggregators Rules, 2025, which set fares at ₹25 per km and mandate driver insurance and vehicle standards. Driver unions are pressing for further rate revisions, citing rising fuel and operating costs. Tewari has asked officials to find a workable solution quickly.
The immediate crisis in Chandigarh's cab market stems from a regulatory standoff that began with the city's Motor Vehicles Aggregators Rules, 2025. These rules were designed to bring app-based taxi services under the same fare and licensing framework as traditional operators, addressing long-standing complaints about driver welfare and consumer pricing. The suspension of licences for Uber, Rapido, Ola and inDrive removed roughly four-fifths of app-based capacity, leaving Bharat Taxi as the sole major aggregator. With supply constrained, surge pricing has replaced regulated fares. The next step for commuters and the administration is the state transport authority's response, expected when it reviews fare modifications demanded by driver unions and the viability of current aggregator licences.
Source: hindustantimes.com
This brief was synthesised by AI from the source linked above.