BREAKING: Uber Increases Trip Fares in Lagos by 13%

Avatar
BREAKING: Uber Hikes Trip Fares in Lagos by 13%

Ride-hailing company, Uber has hiked the price of its economy ride, UberX in Lagos by about 13% effective from May 11, 2021. 

The e-hailing operator disclosed this in an email sent to driver-partners, stating:

At Uber, we remain committed to providing a reliable earning 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%.

Uber statement

The increase in fare prices comes about two weeks after Uber hosted a virtual round table with its drivers on April 29. The meeting held days after e-hailing drivers in Lagos staged a week-long strike action in protest against low fares amid higher operating costs.

Uber has about 9,000 drivers in Lagos
Uber has about 9,000 drivers in Lagos

Between 8:00 am till 12:00 pm on Mondays and 8:00 am till 12:00 pm on Tuesdays through Friday, Uber riders will now pay a base fare of N237, minimum fare of N538; N70 per kilometre and N12 per minute. This is up from the previous minimum fare of N500, N200 base fare, N50 per kilometre and N11 per minute.

At other time periods, riders will be charged a minimum fare of N575, base fare of N255, N75 per kilometre and N12.5 per minute.

The upwardly reviewed rates mean that riders will be the ones paying more on Uber trips following driver complaints.

Uber’s new pricing structure is applicable during both peak and off-peak periods. Drivers also get to earn more on trip fares at later times of the day from 12.00 pm till night time.

Drivers are Still NOT Satisfied

Despite Uber’s latest move to hike trip fares, drivers are not totally pleased. President of the National Union of Professional App-based Workers (NUPA-BW), Comrade Ayoade Ibrahim tells Technext that Uber solely reviewed prices without carrying drivers along.

Comrade Ayoade Ibrahim, President of NUPA-BW
Comrade Ayoade Ibrahim, President of NUPA-BW

Uber came about the new price mechanism without the input of app-based drivers, they just increased fares based on only their own estimation.

Comrade Ayoade Ibrahim, NUPA-BW President

“What we need from them is to recognise the drivers’ union in their organisation. They still make the same mistakes by failing to recognise our collective bargaining right.”

According to Ayoade, the 25% commission charged by Uber should also be reduced to boost drivers’ earnings. He goes on to say that the operator and the government need to combat security challenges faced by some drivers at the hands of violent riders.

“Registering profiles of riders [customers] with BVN or NIN is very important,” Ayoade said.

However, the NUPA-BW President admits that the fare increase from Uber is a step forward as regards drivers’ demands.

Speaking on Bolt, Ayoade maintains that the operator has not reached out to drivers, but has instead launched a promo to get other drivers to join the platform.

https://technext.ng/2021/04/29/uber-and-bolt-lose-%e2%82%a6100m-revenue-as-nearly-10000-drivers-complied-with-boycott-order/


If you’d like to get featured on our Entrepreneur Spotlight, click here to share your startup story with us.


Technext Newsletter

Get the best of Africa’s daily tech to your inbox – first thing every morning.
Join the community now!


Technext Newsletter

Get the best of Africa’s daily tech to your inbox – first thing every morning.
Join the community now!