KARACHI:
The bustling metropolitan city faces several challenges, and one of the main ones is the unregulated car rental industry. Business owners often park their cars on main roads, causing frequent traffic jams. The lack of a formal government policy to regulate car rental and rates has further aggravated the situation, leading to inconsistent and inconvenient rates for the public.
Rental vehicle rates have seen a sharp increase in recent years. This increase is attributed to rising prices for petroleum products, vehicle maintenance and spare parts.
Nazimabad resident Naveed Ahmed spoke about his experience renting a 25-seater air-conditioned roller coaster for a family picnic on Hawk’s Bay beach. “Last year, the rent was Rs 28,000, but this year it has gone up to Rs 34,000,” he lamented, citing an increase from Rs 8,000 to Rs 10,000 in just one year.
Similarly, Shazia Maryam, a housewife from Garden, said her family paid Rs 21,000 to rent a car for a trip to Keenjhar Lake after negotiating an initial demand of Rs 25,000. He highlighted the need for a government policy to standardize rental rates, similar to how public transport fares are determined.
Nabeel Shahid, a student of PIB Colony, lamented the impact of inflation on family events. “We rented a 16-seater air-conditioned vehicle for Rs 20,000 for a wedding in Korangi. Due to rising costs, middle-class families are now thinking twice before attending events together as these additional expenses are being reduced. becoming unaffordable.
The owners of the car rental business are also struggling. Irfan Shaikh, a rental operator, said many families invest in commercial vehicles and rent them to rental companies under agreements where the profits are divided: 60% for the vehicle owner, 30% for the operator and 10% for the driver. . However, parking remains a major problem.
“Our vehicles are often parked in front of shops, leading to complaints of traffic congestion. The traffic police sometimes confiscate our vehicles, assuming they are commercial,” he added.
Mohsin Raza, another rental operator, admitted the lack of regulation in the industry. “The Sindh Transport Department has not introduced any mechanism to determine fares. In the last two years, vehicle rentals have increased by 25% to 30% due to rising expenses, resulting in a drop in our business by 30% to 35%. Many vehicle owners now rent their vehicles to private companies instead of relying on rentals.”
Industry drivers like Ashfaq Anjum face their own challenges. “We earn between Rs 20,000 and Rs 25,000 a month, with an additional commission of Rs 1,000 per trip. If a customer tips us, it is a bonus. Beyond this, we do not receive benefits or incentives,” he told The Express PAkGazette. .
The Sindh Transport Department has acknowledged the lack of regulation in the car rental business. Officials have promised to formulate a policy to register car rental companies and standardize rates.
