CCI for self-regulation of cabs'' surge pricing
The Competition Commission of India (CCI) on Friday proposed a set of self-regulatory measures for cab aggregation services with respect to surge pricing.According to various measures recommended by CCI, cab aggregators should provide customers with general description of various components of total fare with clear mention of the surge component in the invoice. Also, in case of rude cancellation, drivers should be notified in a transparent manner what portion of cancellation charge is taken by the cab aggregator, and what portion is passed on the drivers.These recommendations were based on a market study conducted by CCI into regulations pertaining to cab aggregation industry where companies such as Ola and Uber are dominant players. However, these measures are more in terms of a guidance."This advisory is being issued based on the observations and recommendations of the study in the Cab Aggregators (CAs) market in India and the mandate of the Commission, inter alia, to ensure fair competition and for overall a well-functioning ecosystem," said CCI in an official release. "While any anti-competitive conduct of CAs may attract enforcement action, the CAs are advised to adopt self-regulatory measures to address information asymmetry and transparency concerns,"Another key recommendation put forth by CCI is regarding preferential access to certain cabs.
CCI for self-regulation of cabs'' surge pricing
The Competition Commission of India (CCI) on Friday proposed a set of self-regulatory measures for cab aggregation services with respect to surge pricing.According to various measures recommended by CCI, cab aggregators should provide customers with general description of various components of total fare with clear mention of the surge component in the invoice. Also, in case of rude cancellation, drivers should be notified in a transparent manner what portion of cancellation charge is taken by the cab aggregator, and what portion is passed on the drivers.These recommendations were based on a market study conducted by CCI into regulations pertaining to cab aggregation industry where companies such as Ola and Uber are dominant players. However, these measures are more in terms of a guidance."This advisory is being issued based on the observations and recommendations of the study in the Cab Aggregators (CAs) market in India and the mandate of the Commission, inter alia, to ensure fair competition and for overall a well-functioning ecosystem," said CCI in an official release. "While any anti-competitive conduct of CAs may attract enforcement action, the CAs are advised to adopt self-regulatory measures to address information asymmetry and transparency concerns,"Another key recommendation put forth by CCI is regarding preferential access to certain cabs.