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TGPWU’s knocks Telangana HC, demands Govt. regulate aggregator platforms fares

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Hyderabad: The Telangana Gig and Platform Workers Union (TGPWU) has knocked the doors of the Telangana High Court on Thrusday. It challenges the state government’s failure to regulate fares for app-based taxi aggregators. The petition seeks to curb the arbitrary pricing practices of aggregator platforms like Ola and Uber.

The Telangana Gig and Platform Workers Union (TGPWU) has accused the state transport authorities of inaction, alleging that their failure to implement existing laws and a government order (G.O. Ms. No. 46) from December 2022 has allowed aggregators to operate without oversight. Further, the petitioner argues that because of this failure, it has led to exploitative ‘surge pricing’ for riders and unfairly low wages for drivers, who bear the brunt of fluctuating fares.

The petition filed by the Telangana Gig and Platform Workers Union (TGPWU) raises several critical concerns regarding the lack of regulation in the state’s taxi industry. The main demands to the Telangana High Court are, first, a petition asking the court to tell state authorities to quickly set up and publicly launch a formal complaint system. This mechanism is intended to provide a transparent and hassle-free platform for both consumers and drivers to register their grievances against aggregator companies. Second, to fix and notify uniform fares for all taxis (contract carriages) operating in Telangana and ensure the mandatory installation and official verification of taximeters in all such vehicles. This must be done in strict accordance with Section 74 of the Motor Vehicles Act and the standards set by the Legal Metrology Act, 2009.

Consequently, the union is arguing that the government’s failure to act on these fronts has created an unfair and unregulated market, harming both the drivers who receive inconsistent wages and the passengers who face unpredictable, exploitative pricing.

The plea, presented by Senior Counsel L. Ravichander and filed by Advocate Mohammed Absar Ahmed, was heard by Justice K. Sarath. The court issued a formal notice to the Government of Telangana, directing it to respond to the allegations.

Regulate Taxi fares

Some of the TGPWU demands include directing the state to fix uniform fares for all contract carriages under the Motor Vehicles Act, 1988. Second, mandate the installation and certification of taximeters by legal metrology standards. Third, establish a robust monitoring and enforcement mechanism to ensure compliance with fare regulations. Lastly, set up a transparent grievance redressal system that is easily accessible to both drivers and consumers.

“This case is crucial to ensure fair wages for drivers and protect consumers from exploitative pricing by taxi aggregators. Regulation and transparency are urgently needed in the sector,” said Shaik Salauddin, National General Secretary of the Indian Federation of App-based Transport Workers (IFAT) and Founder President of TGPWU.

The petition contends that the government’s inaction violates Sections 67, 74, and 96 of the Motor Vehicles Act, 1988, and the Legal Metrology Act, 2009. It also argues that the current unregulated environment infringes upon the fundamental rights of drivers and consumers under Articles 14 (right to equality), 19 (right to freedom of trade), and 21 (right to life and liberty) of the Constitution of India. The court has adjourned the matter, awaiting the state government’s reply.

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