Ride-hailing company, Uber, has increased fares for Uber X, its economy option, by 13% in Lagos State. This means that a ride that would ordinarily cost ₦1,000 ($2.10) now costs ₦1,130 ($2.35). The hike in fares was revealed in an email the company sent to its drivers.
“At Uber, we remain committed to providing a reliable earnings opportunity for driver-partners, as well as a reliable and affordable service for riders. With this in mind, starting 11th May 2021, we are increasing prices on UberX by about 13%,” reads an excerpt from the email.
Recall that on April 19, 2021, drivers on Uber and Bolt, embarked on a warning strike under the umbrella of the Professional E-hailing Drivers and Private Owners Association (PEDPA).
The drivers wanted a review of prices, noting that the high cost of providing rides should reflect in the current price structure. The drivers also agitated for a reduction in the commission charged by the companies from 25% to 10%.
With the increase in fare, one would imagine that the ride-hailing company plans to review the commission it charges on each ride, and also take drivers into consideration while giving discounts on rides.
This move isn’t enough to tell if the strike action yielded the desired result, but this seems like a step in the right direction. While PEDPA is yet to react to this new development by Uber, it is likely that Bolt will follow in Uber’s footsteps.
