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Home Business News

Uber, Bolt drivers move to dump ride hailing companies, partner with indigenous firms

Chike Olisah by Chike Olisah
June 8, 2021
in Business News
Uber

BENGALURU, INDIA - OCTOBER 01: UBER cabs booking using mobile app on October 01 2015 in Bengaluru, India. (Photo by Hemant Mishra/Mint via Getty Images)

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The Professional E-Hailing Drivers and Private Owners Association (PEDPA) in Lagos, on Tuesday, announced plans to dump Uber and bolt as it said that it had entered into partnership with two indigenous App companies for its ride-sharing service.

The partnership is expected to protect the interest of the drivers and provide them with a good welfare package.

This disclosure was made by the National President of PEDPA, Mr Idris Shonuga, while speaking to journalists in Lagos, on Tuesday, saying that the association had partnered with Active Ride and My Cab App companies as replacements for Uber and Bolt.

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What the National President of PEDPA is saying

PEDPA in its statement said, “These indigenous App companies would work with the templates and provide drivers with a good welfare package for riders’ satisfaction.

This will enable the union to protect the collective interests of the drivers as decisions can now be jointly taken and approved before it is binding on both parties.”

Shonuga said that both drivers and riders had to deal with the shortcomings in the e-hailing industry without any mutual written agreement between the owners of the cars and the foreign app companies.

He said, “As against the 20 per cent commission by the team giant App companies, Active Ride is charging 15 per cent commission on each trip. And out of the 15 per cent, five per cent is dropped into the driver’s cooperative wallet and can be accessed for a quick fix.

“This means that with the 10 per cent commission taken by Active Ride, drivers can now earn more and even save. They can now have a good maintenance routine which in turn translate to better customer service delivery.’’

He explained that the new locally developed ride-sharing app would give riders the opportunity to be properly profiled as they would input their photographs at the point of registration which in turn will be displayed for riders to see.

The PEDPA President pointed out that this will improve the safety and security of both riders and drivers.

He said that prices of goods and services had gone up by over 200% and called for an upward review in fare to meet the current economic realities adding that most drivers find it difficult to maintain their cars and so most times transfer their aggression on the riders whom they felt are underpaying them.

The Managing Director of one of the indigenous App companies, Active Ride, Mr Ajayi Ayodeji, said that the reduced commission of 15% means that drivers can now earn more, save and have a good maintenance routine which in turn translate to better customer service delivery.

What you should know

The e-cab operators of Uber and Bolt have been having a running battle with the e-hailing companies over some unresolved issues.

It can be recalled that in August 2020, the drivers under the e-hailing platform for the 2 companies threatened to dump the ride-hailing services over unfavourable business practices pointing out that both app providers took unilateral decisions, fixed inequitable commissions for themselves, fixed unhealthy trip fares and denied them the right to belong to a union.

Also, some Uber and Bolt e-cab drivers in Lagos had in April 2021 threatened to withdraw their services unless an immediate increase in fares is implemented.

The threat from the e-cab operators, under the aegis of Professional E-hailing Drivers and Private Owners Association (PEDPA), follows the non-review of its prices by the e-hailing companies despite unprecedented increases in the price of petrol, vehicle spare parts, food items and other essential commodities in the country.

Uber, earlier this month, increased the rate of its economy option (UberX) by 13% in Lagos from May 11, 2021. The new billing structure will affect both peak and off-peak periods and also reflects time-based pricing that enables drivers to earn more at certain periods during the day.


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Tags: BoltUber Nigeria
Chike Olisah

Chike Olisah

Chike was a banker with over 11 years experience in retail and commercial banking, risk management, treasury portfolio management and relationship management. He also acquired some experience in financial management and do have some special interest in investment analysis and personal finance. He had stints with financial institutions like the former Intercontinental Bank and Fidelity Bank.

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Comments 20

  1. IDRIS SHAIBU ZAKARI says:
    June 9, 2021 at 5:11 am

    I can’t wait for this, pls make it faster. I will be the first to register.

    Reply
    • Owolabi abiodun amin says:
      June 9, 2021 at 9:02 am

      Am also interested

      Reply
  2. Jaja says:
    June 9, 2021 at 7:57 am

    Ultimately the greedy drivers will hijack the system making rides unaffordable to Nigerians , which will then result to low patronage .then I wonder who the drivers will blame for their predicament.

    Reply
    • Austin says:
      June 10, 2021 at 8:50 am

      You’re just an idiot.. opening your mouth to talk trash.. you don’t even know how the system works.. do drivers fix to price or is it left for the company itself? So how will they hijack the system? You are part of the problem.. you don’t know what drivers go through.. try take a yellow cab to lekki and see the price without comfort then and only then can you see the thievery.

      Reply
  3. Akwaboah says:
    June 9, 2021 at 8:10 am

    Active ride should come to Ghana immediately

    Reply
  4. Anonymous says:
    June 9, 2021 at 8:16 am

    Uber’s 20 percent charge on every trip is really suffocating us in Ghana. You can’t even maintain your vehicle above all fuel prices are also very high.
    Active ride please come to Ghana and save us.

    Reply
    • Ebenezer says:
      June 10, 2021 at 11:17 pm

      We should stop calling for others help and creat our Ghana we Are found of this attitude we need to protest more against this foreign apps and seek native one’s for more effective and attached negotiations where both drivers and riders can pass their worries on a common platform

      Reply
  5. Akwaboah says:
    June 9, 2021 at 8:17 am

    Uber’s 20 percent charge on every trip is really suffocating us in Ghana. You can’t even maintain your vehicle above all fuel prices are also very high.
    Active ride please come to Ghana and save us.

    Reply
    • Willi-Boat says:
      June 10, 2021 at 12:15 pm

      Uber is taking 25% in Ghana not 20% please

      Reply
  6. K Badu says:
    June 9, 2021 at 8:20 am

    Ghanaians are also fed up with Uber and Bolt. Very soon we will also strike!!!! Taken 20% commission on every trip is too much why why. We can’t even maintain our cars.

    Reply
    • Anonymous says:
      June 10, 2021 at 8:53 am

      You guys are lucky.. over here in Nigeria their percentage is 25%

      Reply
      • Isaac Jones says:
        June 10, 2021 at 2:21 pm

        Please is 25 percent not 20 in Ghana

        Reply
  7. Nii Adolf says:
    June 9, 2021 at 9:01 am

    Driving with both has been the best

    Reply
  8. Mutiu says:
    June 9, 2021 at 5:16 pm

    I hope the drivers will be willing & ready to increase the weekly returns to the car owners without any grudges.

    Reply
    • Oko says:
      June 10, 2021 at 12:55 pm

      Akwaboa and K Badu, stop spreading the wrong information here. Uber charges 25% on every trip and not 20%, please.

      Reply
  9. Anonymous says:
    June 10, 2021 at 1:56 am

    It’s about time Africans start doing things for themselves.Uber and bolt will send the profits to their mother company.The local app companies should sit up address the issues of both riders and drivers.The foreign companies don’t respect the drivers they work with since the government is supporting them for their greedy gains.

    Reply
  10. Spy says:
    June 10, 2021 at 5:58 am

    My problems with both the Bolt and Uber is the the fares are very low even incessant increment in fuel, spare parts, engine oil, food stuff. How can you allow a driver to carry a rider with Camry 2011 model for 500? Incase u don’t know, d maintenance cost for all cars are not d same. If you categorized the cars in to standard and Comfort, why just d different of 100 to 200? I think what I expected is that The Comfort category should be labelled V.I.P Drive with 1000 difference. Those that want VIP services will go for it.

    Reply
  11. Owo says:
    June 10, 2021 at 10:37 am

    I’m proud this is an homegrown solution.

    Reply
  12. Fredrick onyango says:
    June 10, 2021 at 1:27 pm

    In Mombasa we have kicked Uber and Bolt now enjoying the fruits of our own indigenous app

    Reply
  13. Anebi Sunday eloche says:
    June 11, 2021 at 5:54 am

    Is a welcome development

    Reply

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