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5 years ago

Ridesharing start-ups fail to woo CNG autos

FE file photo
FE file photo

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App-based ride-hailing start-ups have so far failed to bring CNG-run auto-rickshaws to their platforms due to unwillingness of drivers and their disagreement with vehicle owners over income sharing.

At least seven start-ups had attempted to introduce app-based auto-rickshaw calling service for the city dwellers, but their efforts are now on the brink of washout.

However, auto-rickshaw drivers are still showing previous excuses for not joining the ridesharing platform including their inability to use smartphone apps, dispute with vehicle owners and disagreement over existing fare structure.

On the other hand, app developers said apart from the excuses shown by CNG drivers, the main problem actually lies in their mindset.

Start-ups including MUV, Share a Motorcycle (SAM), CNGTrip, Hellow, Obhai, GOTi, and Metro CNG App have tried to launch CNG-run auto-rickshaw apps or adding auto-rickshaw calling options on the existing ridesharing platform.

Obhai, a ridesharing app combining services of car, motorbike, microbus and CNG auto-rickshaw, was launched in the city on April 01, 2018.

Now this is the only platform in the country that offers Dhaka commuters to call CNG auto-rickshaws through a ride-sharing app with over 600 registered auto-rickshaws.

But auto-rickshaws under Obhai aren't available in all parts of the city due to a shortage of three-wheelers registered with the platform.

An Obhai official told the FE that the demand for CNG-run auto-rickshaws in the app is not satisfactory.

Share a Motorcycle (SAM) had also introduced auto-rickshaws calling option in its app in the first quarter of last year, but the app is now unavailable in Google Play Store.

Talking to the FE, SAM communication director FZ Hossain said SAM started operating auto-rickshaws in the country long before Uber and Pathao but its operation remains currently suspended due to many factors.

He said, "The trend in ridesharing going on in the country is not ridesharing at all while 'Ridesharing Service Guideline 2017' of Bangladesh Road Transport Authority (BRTA) isn't helpful for app developers."

SAM is taking time to come with new ideas after resolving existing setbacks, he added.

Another startup GOTi, developed by NIBIZ Soft, launched its app in Google Play Store on January 01 last year, offering bike, car and CNG auto-rickshaw calling options.

But the app managed to secure only 3.1 rating out of 5 from its users and CNG calling option is not there anymore.

CNGTrip, a specialised CNG auto-rickshaw sharing app, was launched in March, 2017 but eventually suspended its operation after few months due to technological setbacks, driver-owner feud and legal complexity.

App developer company Top II unveiled its CNG auto-rickshaws hailing 'Hellow' app at a programme organised at the National Press Club on January 16, 2018.

In the launching programme, app developers said they had registered 500 CNG-run auto-rickshaws by that time but the app is not available on Google Play Store anymore.

Metro CNG App, developed by Metro Transport IT Solutions Ltd and introduced on March 11, 2018 with a fleet of 200 auto-rickshaws, also couldn't survive in the market.

Against the backdrop of reduced trips, some auto-rickshaw drivers have become riders of different app-based bike-sharing platforms due to the sector's exponential growth.

One of them, Md Sharif, who had been driving CNG-run auto-rickshaw for around five years, said, "It seemed to me that becoming a registered rider of Pathao is more profitable than working as a CNG driver."

"I can work whenever I want," he said, adding: previously, he had to drive auto-rickshaw on shift basis and pay off the vehicle owner a fixed deposit, no matter what a sum of money he earns.

Talking to the FE, Dhaka Auto-rickshaw Drivers-Workers' Union president Md Shah Jalal said after launching ride-sharing services like Uber and Pathao, auto-rickshaw commute decreased by one-third.

He said many drivers were interested to drive their vehicles using apps but they couldn't reach a consensus with vehicle owners.

Bangladesh Road Transport Authority (BRTA) introduced Ridesharing Service Guideline 2017 on March 8, 2018.

Under the guideline, ridesharing service companies need to collect 'Ridesharing Services Company Enlistment Certificate' while motor vehicle owners have to collect 'Ridesharing Motor Vehicle Enlistment Certificate'.

According to Dhaka Metropolitan CNG Auto-rickshaw Owners Association, around 25,000 auto-rickshaws are plying the city streets and half of them have no registration.

The government in November, 2015 raised minimum fare of CNG auto-rickshaw to Tk 40 from Tk 25 for first two kilometres. Currently, the commuters have to pay Tk 12 for each kilometre and Tk 2 per minute as waiting charge.

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