SUDHIR KUMAR
The Central Consumer Protection Authority (CCPA) has directed ride-hailing platform, Ola, to implement a mechanism that allows consumers to choose their preferred method of refund.
The CCPA has asked the company to develop a way for consumers, during the grievance redressal process, to choose their preferred mode of refund, either directly to their bank account or via coupon. Ola has also been instructed to provide consumers with a bill, receipt, or invoice for all auto rides booked through its platform. The recommendations are likely to ensure greater transparency and accountability in its services.
The CCPA, led by Chief Commissioner Nidhi Khare, observed that Ola’s no-questions-asked refund policy only provided coupon codes for future rides, without giving consumers a choice for bank account refunds. “This (practice) violates consumer rights,” the CCPA said in a statement. “The no-question-asked refund policy cannot mean that the company incentivises people to simply use this facility for taking another ride.”
The regulator also mandated Ola to issue bills or invoices for all auto rides booked through its platform, citing the absence of such documentation as an “unfair trade practice” under the Consumer Protection Act, 2019. Following the CCPA’s intervention, Ola has implemented several changes, including displaying contact details of grievance and nodal officers on its website, clearly mentioning cancellation policies and fees at the time of booking, adding more options for ride cancellation reasons, and publicizing fare component breakdowns.