Advertisement

Uber offers free rides in Tanzania debut

Wednesday June 15 2016
uber

Uber application. Uber has launched in Tanzanian capital Dar es Salaam. PHOTO | AFP

Tanzania becomes the seventh African country in which Uber, an American taxi hailing firm, has extended its services.

Dar is now the 475th city across 73 countries in which the online cabs firm is operating.

“We are proud to launch Uber in Tanzania at such an exciting point in its growing economy. As the infrastructure of Dar es Salaam rapidly urbanises, so the demand for affordable, easy and flexible transport grows,” said Alon Lits, Uber’s general manager for sub-Saharan Africa on Wednesday.

In an effort to ease traffic congestion, Tanzania last month introduced the Bus Rapid Transit system that will see dilapidated privately owned mini-buses and vans, known as daladala, relegated to the outskirts of the commercial city, paving way for the large capacity commuter buses. They will run on special lanes built in the middle of normal roads, converging in the central business district.

While the BRT project is in its first phase and is expected to complete in 2035, Uber is likely to gain as Dar residents transition to the new transportation system. With its low pricing model, Uber has disrupted markets in the countries it operates with local taxis decrying that its business model is driving them out of business.

“Uber is part of a broader global evolution in transportation. Dar es Salaam is a vibrant, thriving city with a growing youthful labour force that is ready to welcome and support our service. Together, in partnership with the current transport system in Dar es Salaam, we will shape the future of urban travel to benefit passengers, drivers and the environment. We are so excited to be launching here,” Mr Lits added.

Advertisement

Uber charges its customers for every kilometre covered unlike regular cab drivers who price based on arbitrary spot negotiations with clients. Each trip is automatically and openly priced, helping users to budget for their travel expenses.

Customers seeking the firm’s services are required to download an Uber App, which they then use to call the taxis that are registered in the platform. The app allows customers to get a driver within the same vicinity reducing transit time.

Customers will get free rides between Thursday midday and Sunday midnight. The firm is yet to set its minimum charges.

Tanzania is the third East African country after Uber launched in Uganda two weeks ago and in Kenya last year. In Africa, the firm also operates in Nigeria, South Africa, Egypt and Ghana.

READ: Ugandan cabbies face stiff competition with Uber entry

ALSO READ: Uber taxi wars in Kenya highlight tax loopholes

Uber to stay as Kenya forms team to draft rules for online taxis

Advertisement