App drivers in Abuja have decided to set aside fare prices stipulated by app companies and have now incorporated their own fixed prices. This was revealed in a circular distributed by the group which calls itself the Concerned Abuja Pilots.
According to the drivers, the resolution to institute their price regime comes after rigorous discussions occasioned by the persistent fuel increase
Following the refusal of the app management companies to review prices, the Abuja drivers said they have resolved to take action and matters into their own hands by including an additional fee to whatever the app companies had stipulated.
“From Saturday, we shall review our price to reflect the reality on the ground. For any short trip, the price shall be 450 naira per kilometre. For long trips, it shall be 400 naira per kilometre. Drivers are hereby advised to accept rides and immediately renegotiate them to match the prices on the circular. Otherwise, cancel the trip,” the circular reads.
For emphasis, per kilometre fare on Uber is currently around 150 naira.
The circular also noted that the exercise is expected to last for the next two weeks as they believe this will make the riders adjust to the new prices that better reflect the reality on the ground. The circular noted that drivers have continued to borrow money to maintain their cars in the face of poor returns from the business.
To stop this, the group urged Abuja drivers not to sabotage this price regime, even for drivers using CNG cars.
The group also announced a method of enforcing the new price regime among drivers. According to them, to ensure that this new price strategy is implemented, people have been positioned in strategic locations to make orders with “ridiculous prices”. Any driver that accepts a ride without renegotiating, would be allowed to drive to the destination, possibly one where members of the group are waiting. At this location, the driver would be made to undergo a crash orientation course for two hours.
Drivers in Abuja were also asked to print the circular and paste it in their vehicles so that passengers could see and understand it was no longer business as usual. Uber recently increased rates for trips by 13 per cent but drivers believe the new increase is not in tandem with the realities of up to 40 per cent increase in fuel prices.
Fuel scarcity and driver’s plight in Lagos and Abuja
This development is coming amid a perilous fuel scarcity in the country. A crunching fuel scarcity that lasted weeks was followed by yet another increase in the price of the commodity. From about 620 naira, fuel prices soared to about 890 naira, representing an outstanding 45 per cent increase.
To this end, drivers have resorted to putting off their air conditioning during rides and negotiating fares outside the app rates to make ends meet. The drivers who spoke to Technext said this is imperative given the prevailing fuel scarcity situation and the recent increase in the price of petrol across the country.
A driver, Oyebode said over the past weeks he has been driving without putting on the air conditioning to save petrol.
“Codedly, I have in the last two to three weeks been operating without air conditioning. Yes, the majority of the riders understand and cooperate, while some don’t. In the next 2 – 3 days, I am hoping the picture will be clearer,” he told Technext.
Another driver, Ajibola Vincent noted that some drivers are already adjusting their prices to be able to meet up.
“The riders ought to bear some part of the difficulties. Some drivers have downed tools, stating that until app fares become more accommodating of current realities, they won’t be taking orders and would rather rely on offline trips. Other drivers are already self-adjusting fares as well by negotiating a higher fare with the rider to accommodate the challenges they face in getting petrol to run their vehicles to complete orders,” he said.
Following their unsavoury ordeals in their search for liquid gold to power their businesses, the drivers called for app companies like Uber to immediately increase rates on their platforms to reflect the current harsh economic reality.
According to the drivers, it is not fair that they are the only ones getting crushed under the weight of fuel price increases and scarcity, a situation that has forced many of them to park their vehicles.
According to Ajibola Vincent, the unofficial increase in pump price is affecting their earnings, making the business very unbearable. This, he says, is because ride-hailing companies have not factored the prevailing market price of petrol into the price algorithm.
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