Arvind Kejriwal-led Delhi government asks Union IT Ministry to block apps of Uber, Ola Cabs and TaxiForSure

NEW DELHI|BENGALURU: The Delhi government has asked for the mobile applications of Uber, Ola and TaxiForSure to be blocked, flexing its muscles in a standoff that has dragged on for over three months.

Asking the central information technology ministry to wall off their apps, Delhi indicated that it is concerned by complaints that by operating “unauthorisedly,” the cab aggregators are “putting the safety & security of commuters at risk.”

The Arvind Kejriwal government is asking the companies to submit an ‘affidavit’ to show they are compliant with the ban while their applications to operate in the state are being processed.

On February 25, ET reported that Delhi had sought the Centre’s approval to block the internet address of Uber if the San Francisco based startup did not obtain a radio taxi licence to ply its cabs in the national capital.

The PIL was to have been heard on Wednesday. Delhi transport authorities requested the IT department on Tuesday.

A ban on the application will mean blocking the internet protocol addresses used by these companies in India. Together Uber, Ola and TaxiForSure, which was acquire by Ola last month, operate over 10,000 cabs in the capital.

All taxi apps were banned in the state following the alleged rape of a passenger in December. Subsequently, Delhi modified its radio taxi rules to permit cabs to operate. Uber, Ola and TaxiForSure have applied for a licence.

The latter has since been bought by Ola. In response to Delhi’s move, Uber reiterated that it it is operating within the legal frame-work in the capital by following the model used by Pooch-O, an aggregator for auto rickshaws that offers consumers a mobile app to book rides. The app doesn't charge either the driver or the user for its service, leaving the two to transact directly with each other. DIMTS (Delhi Integrated Multi-Modal Transit System Ltd), which developed the app is a joint venture between the Delhi state government and development bank IDFC.

Uber has waived the commission it retained and instead transfers fare amount to drivers. “We are committed to obtaining the licence but also wanted to clarify Uber’s current operating model,” said an Uber statement.

Transport authorities clarified to ET that Uber’s altered model “cannot be equated to Pooch-O which does no financial transaction.” An Ola representative told ET that the company is working with state authorities. “We have proactively gone over and beyond set requirements in terms of customer safety.”

(With inputs from Neha Alawadhi in New Delhi )