This archive report was first published on 22 August 2019.
Uber's decision to increase fares comes after months of thorough reviews on the growth and sustainability of driver earnings. The company has revealed that the fare hike is necessary due to high operating costs, including increased fuel and vehicle maintenance costs.
According to a notice sent to drivers and partners, Uber will increase ChapChap and UberX rates in the latest price review. This move is expected to see driver earnings rise significantly.
Riders requesting UberX will pay an additional Sh 11 per kilometer, with the new rate being Sh 38. Those requesting the ChapChap option will pay Sh 22, which is Sh 4 higher per kilometer. Additionally, there will be an extra Sh 8 charge per kilometer after the trip exceeds 11 kilometers.
Uber's fare hike comes just weeks after its biggest rival, Bolt (Formerly Taxify), removed the budget fares option known as Bolt Go, effectively raising charges for its users.
Uber's notice to drivers and partners reads: “From Monday, 26 August 2019, Uber will be introducing changes to Uber ChapChap and UberX. These changes have been informed by your continued feedback and many months of thorough reviews on the growth and sustainability of your earnings opportunity,”