PANJIM: The Competition Commission of India (CCI), which took suo-motu cognisance of alleged competitive conduct of taxi unions in the State in 2018, has cleared taxi operators of the charges citing lack of evidence.
The Commission also noted that no case was made out for violation of Section 3 of the Competition Act, 2002 (Abuse of Dominant Position).
The Commission in 2018 had directed its Director General (DG) to investigate the matter and submit a report. In its interim order, the regulator said the conduct of taxi unions in not allowing any app-based service providers in the State of Goa, was putting a restraint on services based on technology and limiting the competition. Whereas in a report in January 2020, the DG stated there were no fare meters and groups of taxi operators across North and South Goa control the rates as well as the routes.
The report also mentioned that tourists in Goa were overcharged which is why the government introduced GoaMiles wherein the taxi fares would be almost half of fares charged by tourist taxi operators.
To counter government’s decision allowing entry of app-based cab service, various taxi unions organised demonstrations and strikes as well as physically intimidated other stakeholders. It added anti-competitive practices reports were correct.
The North Goa Tourist Taxi Owners Association, one of the opposite parties in the suo motu case, challenged the report stating these allegations were solely based on selective newspaper reports and that not even an attempt was made to consider and to investigate equally. The association alleged that despite their opposition, the government formulated a policy for the aggregators. The other opposite parties also agreed to this submission.
The Commission, following a marathon hearing, pronounced its verdict last month stating that actions of the taxi operators do not amount to an anti-competitive practice as defined in the Competition Act, 2002.
