Trade
5 years ago

Ridesharing firms operate ‘illegally’ in Bangladesh

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Not a single one of the dozen ridesharing firms is licenced to operate in Bangladesh for failing to respect the guidelines set by the government nearly a year ago.

So the ride-hailing companies are running business illegally in Dhaka even as their services get increasingly popular.

Equally, users’ complaints about the quality of the smart phone app-based services are piling up.

When some firms like Uber, SAM and Pathao launched ridesharing services in Bangladesh in 2016, the government had no guidelines for such companies.

As the services started becoming popular in the city infamous for traffic congestions and anarchy in the public transport sector, the government made the guidelines and approved those on Jan 15 this year after discussions at different levels.

The guidelines made enlistment certificate from Bangladesh Road Transport Authority compulsory for the companies and the owners of the vehicles used for the services.

The 12 companies that have applied for the certificate so far are Uber Bangladesh Limited, Pathao Limited, Chaldal Limited, Akash Technology Limited, Golden Rain Limited, Obhai Solutions Limited, Rider Rideshare Inc Limited, Pickme Limited, Easier Technologies Limited, Akij Online Limited and Computer System Network Limited.

Some other companies have not applied for the certificate but are continuing operations.

BRTA officials say they visited the firms after getting the applications for certificate, but could not provide them with what they want because of the unfulfilled conditions.

Their enlistment hinges on issues like having SOS button on apps, updating drivers’ data, call centres, and location of data server.

The BRTA is now writing to the Road Transport and Highways Division briefing the government about the latest status..

“Maybe the government is giving them some time because the people need these services,” BRTA Director Mahbub E Rabbani said as he was asked how the firms were operating without permission.

He pointed out that the companies were launched before the guidelines were enacted.

UNFULFILLED CONDITIONS

According to the guidelines, the ridesharing firms must add an SOS button to their apps, which will enable users to send their location and other data by touching the button seeking help through the 999 national helpline.

The guidelines also stipulate establishment of a system that will allow police to monitor every trip from a control room. The companies and police are supposed to do the job jointly, but it has not been done yet.

The companies have to update data of their drivers from their national ID cards and crosscheck those with the Election Commission, which oversees the database of citizens’ details, the guidelines say.

But the commission in a letter on Oct 25 told the BRTA that it would not allow any company to access the database for crosschecking drivers’ detail before the firms get the enlistment certificate.

The call centres of the companies must remain open round the clock seven days a week, but those who received BRTA’s permission to set up the centres are yet to open those.

No company can send ridesharing information outside Bangladesh, which means they must set up their data servers in the country, according to the guidelines.

BRTA officials said the servers of all such companies operating in Bangladesh are stationed abroad.

The firms are yet to get registered due to many such reasons, BRTA Director Nurul Islam said.

“No firm has been able to provide all the required information until now after the guidelines were gazetted on February 28,” he said.

“And they have failed to provide security information, which is the most important thing,” he added.

UNANSWERED QUESTIONS

Efforts were made to contact four of the most active ridesharing firms to speak about the users’ complaints and the allegation that they were not following the guidelines.

Only Uber, which operates in many other countries, sent back a statement, but Pathao, Obhai and Shohoz.com did not respond.

Uber said it wanted to follow the rules and process set by the government as a company registered in Bangladesh.

It is working with the government agencies to get the enlistment certificate following the ridesharing guidelines, according to the statement.

Pathao CEO Husain M Elius did not take phone calls for comments on November 17, bdnews24.com reported.

Later, a person identifying himself as Md Rakib Uddin, the team leader of public relations firm Masthead PR, called and asked for sending questions related to Pathao to his company.

When questions were mailed about the guidelines on November 17, he got back two days later only to say Pathao did not want to speak about the issue.

Shafayat Reza, an assistant manager at Obhai, also said his company would not speak about the issue.

Shohoz.com Managing Director Maliha Quadir did not respond either.

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