If you’re about to get walloped by winter weather on the East coast, at least you can rest assured that you won’t get walloped by Uber’s surge pricing.
The ridesharing service said Monday that it will cap price surges at 2.8 times the normal rates during the Northeast blizzard, according to Bloomberg.
“Dynamic pricing will be capped and all Uber proceeds will be donated to the American Red Cross to support relief efforts,” the company detailed in an e-mail statement, later confirming the 2.8 figure.
The storm, which is expected to last from Monday evening through Wednesday, could dump more than two feet of snow on individuals that inhabit the Northeastern region of the country.
Uber’s move will likely not completely satisfy New York City Mayor Bill de Blasio, who said at a press conference Monday that “price gouging” by for-hire vehicles during an emergency is illegal.
“If you have any evidence — if you happen to take, for example, for-hire vehicles or have any evidence of people taking advantage of this emergency to unfairly and illegally raise the prices of their rides, it is important to call 311 and report it,” de Blasio told citygoers, according to National Journal. “Price gouging in the context of emergency is illegal.”
Rideshare service Lyft will also cap rates at 200 percent its normal rates, which is a normal practice of the company during peak hours.
“Demand may not even push prices that high, but the cap is there so rides during busy periods remain affordable,” the company said in an e-mail to drivers and riders.
Uber came under fire for its surge pricing during the hostage crisis in Sydney, Australia, last December, which resulted in individuals trying to escape the business district being charged as much as four times normal rates to flee the area.
The company quickly responded by offering free rides out of the area after catching word of backlash.
Ahead of the snowstorm, New York, New Jersey, Connecticut and Massachusetts all declared states of emergencies. Moreover, 7,000 flights have been cancelled and travel bans have been instituted.
