Uber has introduced a major change in Pune and Pimpri-Chinchwad, aligning auto-rickshaw fares with government-approved meter rates starting April 1, 2025. This move follows the signing of a new agreement with auto drivers on February 18, 2025, transitioning Uber from an aggregator to a Software as a Service (SaaS) platform.
Fixed Daily Fee for Drivers
Under the revised agreement, Uber will not charge commissions from drivers. Instead, drivers will pay a fixed fee of ₹19 per day to access Uber’s platform. This marks a shift in Uber’s role, as it will function solely as a technology provider rather than a direct service intermediary.
No Surge Pricing, Transparent Fares
Passengers will no longer face fluctuating fares due to surge pricing during peak hours or adverse weather. While Uber’s app will continue displaying estimated fares, the actual fare will be determined based on the auto-rickshaw’s meter reading. This transparency is expected to benefit both drivers and commuters.
Impact on Drivers and Passengers
Auto drivers will have complete control over fare negotiations, with Uber refraining from any intervention. Additionally, the absence of surge pricing will ensure passengers pay fair, regulated rates.
To enhance passenger awareness, many auto drivers plan to keep copies of the revised agreement in their vehicles. This will help clarify the shift to meter-based pricing.
Reduced Legal Liabilities for Uber
With this transition, Uber has distanced itself from the traditional aggregator model. The company will not maintain an employer-employee relationship with drivers. Consequently, labor laws and consumer protection regulations governing aggregators will no longer apply to Uber’s operations in this capacity.
Conclusion
Uber’s adoption of the SaaS model and implementation of meter-based fares in Pune and Pimpri-Chinchwad reflects a significant shift in the ride-hailing landscape. By eliminating surge pricing and empowering drivers, this move promises fairer and more transparent experiences for both drivers and passengers.
