Corporate sector gets breather after fuel prices drop, cab vendors slash tariff

The corporate sector in Delhi-NCR claims to have gotten a breather after fuel prices dropped and cab vendors slashed tariffs.

After a reduction in petroleum product prices a few days back, the corporate sector in the Delhi-NCR claims to have gotten a breather as the per kilometre rates for cab vendors were slashed.

Due to the continuous steep increase in the petroleum prices, the industry was facing an extra financial burden as the cab vendors had increased rates.

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The corporate sector in the NCR includes information technology (IT) companies, IT-enabled services (ITES), such as Business Process Outsourcing (BPO), Knowledge Process Outsourcing (KPOs), and multi-national companies (MNCs), and is the largest user of petroleum run cabs and buses. It is estimated that over one lakh cabs ferry corporate employees in the NCR every day with 15,000 buses in the offices at Noida, Gurugram, and Delhi.

“The constant hike in petroleum products had led to the rise per kilometre tariff of the fossil fuel-run cabs. The vendors had increased the rates by Rs 3 to Rs 4 per kilometre over the last three months. On one rupee hike in fuel prices, the on-road per kilometer cost of running a cab is hiked by three rupees by vendors. However, the drop in fuel prices has brought down the tariffs again,” said Ajit Pandey, a member of the Global Association for Corporate Services (GACS).

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The corporate honchos have demanded charging stations across the corporate offices for electric vehicles and a rebate on GST for a fleet of vehicles.