Good news for those who often travel through taxi service as Uber, a ride hailing service, has announced 20% reduction in their charges for Karachi and Lahore customers with effect from April 6, 2017. This cut price is offered for UberGO only it means you’ll have to pay less for your next trips with UberGO.

Hundreds of thousands of riders across Pakistan already use Uber to get from one place to another while tens of thousands of drivers now use the Uber App across Pakistan.

Reduction in UberGO Fares

The theme behind the cut-price decision explained in a press statement issued by Uber, “Over the years, we’ve learned that the single most effective way to help driver-partners get more trips is to reduce prices for riders. This is exactly what happened when we reduced fares in cities such as Nairobi, Kenya and Bucharest, Romania. The increase in rider demand meant payments to driver-partners using Uber went up.”

While this cut-price is beneficial for riders, it is ultimately designed to help Uber driver-partners, claimed the statement. “This is because a driver-partner who is logged into the Uber app is doing one of three things: sitting idle while waiting for a trip, on their way to pick up a rider, or carrying a rider to their destination. Only the third scenario is when a driver-partner is earning a fare”, it said.

Read Also: How to Become Partner with Uber and Careem in Pakistan

The General Manager for Uber in Pakistan, Safee Shah, explained more by saying, “We are committed to driver-partners and that Uber remains an attractive option for them – without them, we can’t help keep our Pakistani cities moving. We believe these price changes will help increase demand – meaning more paying passengers in drivers-partners vehicles and less dead kilometers between paying trips.

And while each city adjusts to the new prices, we are putting in place payment guarantees for driver-partners. Partner economics will be closely monitored, every day, to ensure that drivers using our app continue to thrive.”

Comparison of Old & New UberGo Fares

A brief comparison of old and new fares of UberGO is shown below:

Base Fare Charges per KM Charges per minute Minimum Fare Cancellation Charges
Old fares
Rs. 100 Rs. 6.84 Rs. 3.15 Rs. 150 Rs. 150
New Fares
Rs. 80 Rs. 5.59 Rs. 2.50 Rs. 120 Rs. 120