Kathmandu once again witnessed a disruptive protest on Friday, led by some taxi owners and drivers, demanding a total ban on ride-sharing apps such as Pathao and InDriver. Dozens of protesting taxi owners and drivers took to the streets blocking one of the major thoroughfares of the Kathmandu Valley. Thousands of commuters bore heavy losses in terms of time with heavy traffic congestion because of the protest. That was the immediate effect of the protest. But Friday's protest by the cabbies hints at something much graver: an opposition that is uncalled-for to the rightful evolution of the market in Nepal's transport sector. It is time to talk about why such protests are misplaced and counter-productive.
Lying at the root of these protests is a complaint that the ride-sharing apps steal passengers and thus hurt traditional taxi businesses. This view reflects a deep misunderstanding of how markets work and how choices are made. Ride-sharing services have been a boon to the consumer and represent a much cheaper, more hassle-free, and smoother mode of travel than traditional taxis. This, therefore, means that the increasing usage of these applications is a function of this market demand for better services and not as a result of unfair competition.
Similarly, the claim that ride-sharing applications "force" passengers into their vehicles is without merit. They are offering a service that caters to today's consumer needs: affordable, efficient, and convenient. In contrast to many traditional taxis that have gained a bad reputation for not using meters, thus overcharging passengers, a ride-sharing service offers prices transparently and service reliably. The trend in consumer preference naturally develops with the evolution of more competitive and customer-oriented transportation.
Govt calls taxi drivers' demands irrational
Besides, the very argument of banning those apps is uncalled for in Nepal, which practices a free market economy. Competition in a free market economy is not only inevitable but desirable; it invites innovation and improves the quality of service, hence benefiting the consumer. The emergence of ride-sharing applications creates healthy competition that ultimately compels the traditional taxi services to raise the bar. The growth, therefore, is something that should not be curtailed but rather considered as an instigator of additional growth and expansion in the transport sector.
Therefore, Friday’s protests by some taxi drivers and owners did not only fail to serve their purpose for the core issue but also inconvenienced the general public unnecessarily. Roadblocks created by protesting taxi drivers severely disrupted traffic for hours all across the Kathmandu Valley on Friday and inconvenienced such critical workers as health professionals and emergency services. Ironically, this protest has only managed to inconvenience those very people at whose expense they claim to be protesting. This strategy is counterproductive in the cause of societal concerns and smells of callousness toward the citizens' needs and welfare.
One should also not forget that the protest on Friday had never received any official permit and had not been approved by the association of taxi drivers. Lack of coordination, coupled with absence of formal endorsement, further erodes legitimacy and speaks volumes about the protesters' good will.
This disruption, for the authorities including the traffic police, should mean there needs to be a comprehensive Plan B worked out for the future to deal with these kinds of sudden disruptions. They should make sure that illegal blockades are not caused, and at the same time, the holding of such demonstrations does not disrupt emergency services. The objective must be to handle such situations more constructively than in the past.
The bottom line: protesters against ride-sharing apps are misguided in their attempts to try to halt progress for the sake of progress, rather than having a genuine grievance in and of itself. The issue is not the availability of ride-sharing services but, rather, the fact that the taxi industry needs to adapt to the forces of the marketplace. Instead of taking to the streets and inconveniencing citizens, taxi drivers should focus their efforts on improving their business to remain competitively relevant. It is this competition that gives us a choice as consumers, and it is this very competition that moves and develops our day-to-day lives.
