Now Uber and Ola are going for the Indian Railways
Taxi hailing companies such as Ola and Uber are turning out to be a boon for the Indian Railways snapping up parking spaces at railway stations in various cities at rates far higher than those paid by contractors and other taxi users.
now concluded deal for the stations in Bengaluru division, the railways has allocated parking space for about 100 cabs to Ola and Uber for Rs 17 crore a year. its big deal.
"For five-six stations of only one division, we have managed to get Rs 51 crore for three years (Rs 17 crore a year). We'll be doing the same in Delhi, Mumbai, Kolkata, Hyderabad, Chennai and other bigger cities," said a senior railways ministry official, speaking on condition of anonymity.
Ola and Uber are expected to help drive non-fare revenue for the which is Indian Railways eyeing minimum revenue of Rs 500 crore a year through leasing parking lots at stations and the adjoining vacant land to the cab aggregators.
The parking lots will become the taxi hubs for Ola and Uber to serve the high frequency catchment area of railway stations and adjoining areas. The railways will also allow these companies to set up kiosks to pick up passengers at the entry point.
In response to ET's queries, an Ola spokesperson said that million of people travel with Indian Railways on a daily basis and this tie-up will ensure seamless last-mile connectivity for commuters using smart and sustainable transportation solutions.
"This partnership is a great merger point for a traditional and impact transportation solution like railways and a modern and technology backed smart transportation provider like Ola," spokesperson said.
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