Uber has written to the Devendra Fadnavis, the chief minister of Maharashtra, stating that it welcomes the move to segregate guidelines for app-based taxis in the state, but some of the rules in the proposed Maharashtra City Taxi Rules 2016 would hurt its business in the state. Note that these suggestions are not Uber’s submission in response to the rules, just suggestions it has sent across to Fadnavis. MediaNama has a copy of the letter and here are the points Uber raises: - Restrictions over engine capacity: Since over half of the fleet of cars under ridesharing apps should have engine capacity of over 1400 cc, “more economical and fuel efficient cars will be pushed out from the platform” and take away driver flexibility and choice, forcing them to buy more expensive cars which will drive up fare prices. - Steep price tags for permits: Permit prices of Rs 25,000 to Rs 261,000 will restrict drivers from joining its platform, result in higher wait times and increased fares for users. The requirement to deposit Rs 50 lakh for every 1,000 vehicles will make “business unviable.” - Pricing restrictions: “A price floor will prevent us from offering affordable services and a cap on pricing will make the service unreliable due to higher wait times,” it said in its letter. Further, it mentions that “existing taxi drivers are feeling the pressure from services like Uber, but the answer is to level the playing field by reducing today’s burdensome regulations - not to introduce…
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