In a bid to disrupt the dominance of ride-hailing giants Ola and Uber, Union Home Minister Amit Shahon Thursday announced the launch of Sahkar Taxi, a cooperative-based ride service designed to give drivers full control over their earnings. Unlike existing platforms, this initiative eliminates commission cuts by third-party aggregators, ensuring drivers receive their full fare.
A Cooperative Model for Fairer Earnings
Speaking in the Lok Sabha, Shah highlighted that Sahkar Taxi aligns with Prime Minister Narendra Modi’s vision of ‘Sahkar Se Samriddhi’ (Prosperity Through Cooperation). The platform will allow cooperative societies to register taxis, rickshaws, two-wheelers, and four-wheelers without the interference of intermediaries. The system will function similarly to app-based services but will be managed by driver-led cooperatives, ensuring fair pricing and direct earnings.
Key features of Sahkar Taxi include:
No middlemen – Drivers can directly register their vehicles under cooperative societies.
Full earnings – No commissions deducted by aggregators.
Transparent pricing – A fair and structured fare system for riders and drivers.
Shah emphasized that the service will be rolled out in the coming months, creating a sustainable and driver-friendly alternative in the ride-hailing industry.
Ola & Uber Face Scrutiny Over Pricing Practices
The announcement comes at a time when Ola and Uber are facing criticism over alleged discriminatory pricing. The Central Consumer Protection Authority (CCPA) recently issued notices to both companies following claims that ride fares vary based on the device used—iPhone users reportedly being charged more than Android users.
Both companies have denied these allegations:
Ola stated that it maintains a uniform pricing policy across all users.
Uber clarified that it does not determine fares based on phone models and is cooperating with the CCPA investigation.
The issue gained traction in December 2024 after a viral social media post showed fare discrepancies between identical Uber rides booked from different devices. Consumer Affairs Minister Pralhad Joshi has termed such practices “unfair trade practices” and assured that the government will expand its probe to other sectors, including food delivery and online ticketing, to prevent consumer exploitation.
