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Updated February 6th, 2024 at 21:00 IST

Karnataka Government Announces New Uniform Fare Structure for Cabs in Bengaluru

For vehicles costing between Rs 10 lakh and Rs 15 lakh in Karnataka, the minimum fare is increased to Rs 115, with a per kilometer rate of Rs 28.

Reported by: Isha Bhandari
Karnataka Government Announces New Uniform Fare Structure for Cabs in Bengaluru
Karnataka Government Announces New Uniform Fare Structure for Cabs in Bengaluru | Image:Shutterstock
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Bengaluru: Karnataka’s Transport Department has introduced a new fare structure applicable to both city taxis and app-based cab aggregators like Uber and Ola. The revised fares, in Karnataka including Bengaluru announced by the department on Saturday, aim to streamline pricing and ensure uniformity in charges for taxi services statewide, effective immediately. Under the new fare structure, cabs in Karnataka are categorized into three classes based on the cost of the vehicle, with corresponding minimum fares and per kilometer rates:

- For vehicles costing Rs 10 lakh or below in Karnataka:  The minimum fare is set at Rs 100 for up to four kilometers, with an additional charge of Rs 24 for every subsequent kilometer.

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- For vehicles costing between Rs 10 lakh and Rs 15 lakh in Karnataka: The minimum fare is increased to Rs 115, with a per kilometer rate of Rs 28.

- For vehicles costing above Rs 15 lakh in Karnataka: The minimum fare is further raised to Rs 130, with a per kilometer charge of Rs 32.

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Why did the Karnataka government fix the fare for taxis? 

The order explicitly prohibits cab aggregators in Karnataka from collecting extra charges beyond the prescribed fare structure, ensuring transparency and fairness for passengers. Additionally, waiting charges have been revised, with the first five minutes being free and subsequent waiting time incurring a charge of Re 1 per minute.

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The new order allows app-based aggregators to levy a five percent GST as well as toll charges on passengers. However, the imposition of extra charges by operators for bookings made between 12 am and 6 am is permitted, with an additional 10 percent surcharge during these hours.

The implementation of the new fare structure reflects the Karnataka government's commitment to regulating the taxi industry effectively while prioritizing the interests of both passengers and service providers. 

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The move is expected to enhance affordability and accessibility of taxi services while promoting greater accountability and standardization within the sector.

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Published February 6th, 2024 at 21:00 IST

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