Relief For Rapido, Ola, Uber,  Bike Taxis To Be Soon Allowed In Delhi

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The Arvind Kejriwal-led AAP government is preparing to pass an aggregator policy that would allow bike taxis of aggregators like Ola, Uber, and Rapido to operate on Delhi roads. The upcoming policy, which is expected to be notified in a couple of months, would give preference to electric bikes, and aggregators who have electric fleets would be allowed to run bike taxis. However, it is unclear if bike taxis with internal combustion engines would be allowed under the new policy or not. The drivers would need to obtain a commercial service badge after having their antecedents verified by the police, and their two-wheelers would be issued yellow commercial number plates. Earlier in February, Delhi’s transport department banned aggregators such as Rapido, Uber, and Ola from operating bike taxis and said that aggregators violating the order would be liable for a fine of INR 1 Lakh.

 In the case of Rapido, the Maharashtra government refused to grant them an aggregator license, and the company had to approach the Supreme Court for relief. However, the apex court directed the state government to decide on the matter. These regulatory challenges can affect the growth and expansion of app-based aggregators in India. In September 2020, the Karnataka government issued a notification banning app-based aggregators such as Ola and Uber from operating auto-rickshaws in Bengaluru. The government alleged that these companies were charging higher fares than the fares fixed by the government, which was in violation of the Motor Vehicles Act. The government also stated that these companies were not complying with the rules regarding the safety of passengers and drivers.