ISLAMABAD: The Taxi Driver Welfare Association (TWDA) will be holding a protest in front of the National Press Club on Thursday, April 6 against app-based cab services.

The TDWA believes the new services are taking jobs away from conventional taxi drivers, which is affecting 40,000 families in the twin cities of Islamabad and Rawalpindi.

The association says the competition between app-based cab services and licenced taxis is also not fair as licensed taxi drivers have to pay four kinds of taxes while app-based services do not.

Deputy Commissioner Islamabad Mohammad Mushtaq has said action cannot be taken against app-based cab services as the government has started the process of regulating them. He also said the TDWA has not sought permission for holding the protest.

Talking to Dawn, TDWA President Malik Aftab claimed that because private cars are used for pick and drop services for the app-based cabs, bureaucrats, businessmen and other influential people have now asked their drivers to earn money working for various app-based services when the cars are not being used by the family.

“We pay many taxes including conversion duty for converting a car into a cab, our vehicles are examined twice a year and a fee is payable each time, the cab permit has to be renewed every three years and the token fee for a cab is more than double that of a private car’s. We also have to paint our cars in order to get a licence,” he said.

“On the other hand, app-based services use private cars and they can also enter into the Red Zone, where conventional cabs are not allowed. In other words, it is impossible for us to compete with app-based cabs,” he said.

For the same reason, the Islamabad District Administration had in the last week of Dec 2016 issued notices to app-based cab services, asking them to stop their businesses as they were not using commercial vehicles.

Three days later, raids were conducted at their offices and were sealed. However, the services resumed in the federal capital some time later.

Mr Aftab said that during all their governments, the PML-N had taken steps for the improvement of the transport sector.

“During this tenure, the Punjab government introduced black and yellow cabs and people are still paying off the instalments. However, we are facing challenges because the app-based services do not have to pay the same taxes,” he said.

He claimed that app-based cab services were being used for legalising black money and for money laundering because they claim to pay drivers Rs10,000 per day. If this is correct, Mr Aftab said, a 17pc GST should be imposed on them. He added that the government is facing a loss as these services do not pay taxes and duties.

Mr Aftab alleged that the Islamabad district administration also supports app-based services because it had not allowed the TDWA to display banners against the services in the federal capital.

“Some 40,000 families are suffering due to the new services so the government should consider our problem and provide new cabs as licensed cabs are usually old and are not preferred by commuters,” he said, adding that taxi drivers will be holding a protest on April 6.

Talking to Dawn, Deputy Commissioner Islamabad Mohammad Mushtaq said he was aware of the complaints made by the TDWA but cannot take action against the new cab services as the government had decided to regulate them and they will be allowed to function till the final decision is made.

He said the TDWA had not obtained permission for the protest.

“I will direct the secretary Regional Transport Authority to negotiate with the association and stop them from protesting,” he said.

Published in Dawn, April 4th, 2017