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Now, govt eyes Ola, Uber to cut taxi bills

New Delhi : Looking to save on huge taxi bills, government departments and PSUs are now turning to popular ride-hailing apps like Ola and Uber for their transportation needs, and have been promised service without any ‘surge’ pricing.

Uber and Ola are looking at offering taxi services to government departments at special rates and have registered at the portal of government e-marketplace (GeM). Besides, Ola is also in discussions with various public sector units (PSUs) for its ‘corporate’ offering.

The GeM was launched last month for buying goods and services by Central ministries and departments for greater transparency in government procurement, which is estimated at Rs 10,000 crore a year.

According to an official, the government is looking at significant savings as various departments currently shell out as much as Rs 40,000 every month for taxis.

“What has been agreed is that they will give us a monthly bill, something they have never done. Second, for the government, there will be no surge pricing,” the official said.

The official added that the organisations need cabs everyday and “if you get the Uber and Ola, it is economical. You also get a complete tracking of distance and clear-cut billing”. Ola Head (Corporate) Ankit Jain said the company is in discussions with various PSUs for its corporate offering.