New York – Want a ride home from car service Uber during the major snowstorm descending on the Northeast on Monday? Expect to pay more than the usual fare.
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Still, after taking heat for big price increases during past storms, Uber has capped how much prices can rise in U.S. cities during disasters or emergencies.
In New York City, surge pricing will be capped at 2.8 times – nearly triple – the normal fare. The San Francisco company is also planning to donate the proceeds after paying drivers to the American Red Cross. That’s part of its nationwide policy during disasters and emergencies after criticism when prices surged during Superstorm Sandy in 2012.
At smaller rival Lyft, prices never go higher than three times the regular rate.
So now it is okay to raise prices during and after a storm. Why when we had hurricane Sandy did the city and state fine businesses who raised prices like hotels and gas stations?