Hopes revive for bike taxis in Karnataka as Centre revises guidelines

Bengaluru: Hopes have risen for the resumption of bike taxi services in Karnataka after the Ministry of Road Transport and Highways (MoRTH) released the revised Motor Vehicle Aggregator Guidelines on Tuesday. 

The guidelines provided a regulatory framework for state governments to issue licences and regulate aggregators. 

The new guidelines attempt to provide a light-touch regulatory system while attending to issues of safety and security of the user and the welfare of the driver. 

The most notable revision appears to be in Clause 23 entitled 'Aggregation of non-transport motorcycles by aggregators', allowing online aggregators to operate two-wheelers as bike taxis. 

"The state government may allow aggregation of non-transport motorcycles for journey by passengers as shared mobility through aggregators resulting in reduced congestion and pollution, along-with providing affordable passenger mobility, hyperlocal delivery, creating livelihood opportunities," the guidelines says. 

While transport is a concurrent subject, the state government may follow guidelines issued by the central government while issuing the licence to an aggregator, as per Section 36 of the Motor Vehicles (Amendment) Act, 2019. 

Karnataka, which banned bike taxis on June 16 in accordance with a high court ruling, has argued that central government guidelines do not permit the use of personal two-wheelers as transport vehicles. 

Rapido, the biggest bike taxi operator, welcomed the revised guidelines, calling it a "milestone". 

"By recognising non-transport motorcycles as a means of shared mobility, the government has opened the door to more affordable transportation options for millions, especially in underserved and hyperlocal areas. Aligned with India’s goals of sustainable urban development, the move will also help address pressing challenges such as traffic congestion and vehicular pollution, while expanding the reach of last-mile connectivity and hyperlocal delivery services," it said.  

Uber, too, described the guidelines as "a forward-looking step toward fostering innovation and regulatory clarity in India’s digital mobility sector". 

"Timely adoption by states will be key to ensuring uniform implementation and building much-needed predictability for all stakeholders," it said. 

Karnataka's Transport Department did not immediately comment on the matter. 

Yogeesh AM, Commissioner for Transport and Road Safety, told DH that their immediate concern was the appeal filed by ride aggregators against the single-judge bench order that disallowed bike taxis. 

The matter is scheduled for hearing on July 2.