Latest news with #MotorVehiclesAggregatorGuidelines
Hindustan Times
18 hours ago
- Automotive
- Hindustan Times
Govt proposes psychological test for cab aggregator drivers
The Union government has proposed that drivers onboarded by cab aggregator platforms such as Ola, Uber, and others undergo a psychological analysis to determine whether they are fit to be onboarded. These proposals are part of the Motor Vehicles Aggregator Guidelines (MVAG), 2025, notified on Tuesday. Govt proposes psychological test for cab aggregator drivers The psychological test, among many other proposals, has been introduced by the centre aimed at regulating fares, increasing passenger safety, reducing pollution and safeguarding the interests of drivers from the platforms. To be sure, most of the clauses of these guidelines will only come into effect if states choose to implement them. To protect consumers and encourage competition, the ministry of road transport and highways has proposed that platforms can now charge up to a maximum of twice the base fare during peak hours and a minimum of 50% of the base fare during lean hours. The centre's new policy mandates that the driver must receive at least 80% of the applicable fare and ensure drivers have health and term insurance of at least ₹ 5 lakh and ₹ 10 lakh, respectively, and a minimum of ₹ 5 lakh insurance cover for each passenger. In the interest for safety, driver's license and vehicle permit must be displayed inside the vehicle and the app must display a clear, high-resolution photo of the driver, the policy document states. Further to reduce congestion, lower pollution, and improve affordable last-mile connectivity, the centre has allowed the use of private motorbikes as cabs. This incidentally comes after the Karnataka high court earlier in June had banned the use of bike taxis. The policy also proposes the delisting of vehicles older than eight years from these platforms.
The Hindu
a day ago
- Automotive
- The Hindu
Centre gives green signal for bike taxis; Rapido hails move
The Centre has allowed inclusion of 'non-transport motorcycles' by ride hailing apps in its revised guidelines for taxi aggregators at a time States like Karnataka have banned bike taxis. The guidelines issued by the Ministry of Road Transport and Highways (MoRTH) on July 1 provide a regulatory framework for State governments to issue licences and regulate aggregators. It says State governments may adopt these revised guidelines within three months. Clause 23.1 of the Motor Vehicles Aggregator Guidelines states, 'the State government may allow aggregation of non-transport motorcycles for journey by passengers as shared mobility through aggregators,' adding that this will help in reducing traffic congestion, vehicular pollution and provide passenger mobility, hyperlocal delivery, and create livelihood opportunities. Bike hailing app Rapido welcomed the move. '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,' it said in a press statement. Concurrent subject While transport is a concurrent subject, State governments may follow guidelines issued by the Central government while issuing licence to aggregators, as per Section 36 of the Motor Vehicles (Amendment) Act, 2019. The Indian Federation of App-Based Transport Workers (IFAT) has opposed the move and said non-transport bikes, or those with white plates, must not be allowed to operate as taxis. 'Bike taxis operating on white number plate [private] motorcycles remain illegal. These services compromise passenger safety, evade taxes, and hurt the livelihood of licensed taxi, auto, and bike drivers,' said Shaik Salauddin, National General Secretary, IFAT and Founder President, Telangana Gig and Platform Workers Union (TGPWU). They reiterated their demand to the Telangana government to ban such services. In April 2025, a single judge of the Karnataka High Court ordered Ola, Uber and Rapido to cease their bike-taxis' operations unless the State government framed proper guidelines. The Bench gave them time till June 15 to shut their two-wheeler shop. Ride aggregators have appealed against the order. The State government held the opinion that two-wheelers are not safe for commuters, especially for women. It is opposed to use of bikes registered for personal use for commercial purposes. In other changes, the Centre's guidelines allow aggregators to charge up to twice the base fare during peak hours as compared to the maximum of 1.5 times allowed earlier, while maintaining a minimum of 50% during off-peak periods. The guidelines though have dropped the requirement of maximum number of hours drivers can log. In the 2020 guidelines, drivers could not work for more than 12 hours per day and were required to be given a mandatory break of 10 hours after a 12-hour duty. The IFAT has opposed surge pricing and urged that State governments to 'fix minimum and maximum fares to stop arbitrary pricing by app companies. The current model benefits only the aggregators, while customers overpay, and drivers receive inconsistent, unfair payments,' its press statement said.
The Hindu
2 days ago
- Automotive
- The Hindu
Bike taxi ban: Centre allows use of non-transport motorcycles for passenger journeys through aggregators
Bike taxi platforms have received a boost with the Union government notifying the Motor Vehicle Aggregator Guidelines (MVAG), 2025, on July 1. The new rules permit the use of non-transport (private) motorcycles for passenger transport, provided State governments grant their approval. The development has sparked renewed optimism among aggregators and gig workers hoping for a revival of bike taxi services in Karnataka. Clause 23 of the guidelines states that 'state governments may allow the aggregation of non-transport motorcycles for shared mobility.' This clause is being seen as a game-changer by mobility companies, especially in cities like Bengaluru, which have a high demand for last-mile connectivity. According to the guidelines, this move is expected to reduce traffic congestion and vehicular pollution, while offering affordable transport options, supporting hyperlocal deliveries, and creating new livelihood opportunities. The Centre has vested state governments with the power to regulate and authorise such services under Section 67(3) of the Motor Vehicles Act. States can now impose authorisation fees on aggregators, which may be collected on a daily, weekly, or fortnightly basis. Further, the guidelines lay down clear compliance norms for aggregators. 'Aggregators must also ensure that all drivers onboarded under this clause comply with the regulations laid out in the guidelines,' it says. This includes adherence to safety standards, insurance norms, and responsible onboarding practices. Guidelines provide regulatory clarity In its official response to The Hindu, Uber called the release of MVAG 2025 a forward-looking step. A spokesperson for the company said the guidelines provide regulatory clarity and promote innovation 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. We commend the Ministry for its consultative and balanced approach, and remain committed to working closely with governments at all levels to support effective and inclusive rollout of the framework,' the spokesperson said. Rapido also welcomed the Centre's move, particularly the operationalisation of Clause 23. 'We welcome the Ministry of Road Transport & Highways, decision to operationalise Clause 23 of the new Motor Vehicles Aggregator Guidelines, 2025, which permits the aggregation of non-transport motorcycles for passenger journeys. This move, rooted in the State's powers under Section 67(3) of the Motor Vehicles Act, is a milestone in India's journey toward a Viksit Bharat, a developed, self-reliant, and inclusive India,' a company spokesperson told The Hindu in a statement. The company added that this step aligns with India's goals for sustainable urban development and will help address pressing challenges such as traffic congestion and pollution. It further stated that the move would significantly boost last-mile connectivity and local delivery services. 'We see this policy shift as a catalyst for creating lakhs of flexible livelihood opportunities for riders across urban and rural India, promoting shared and low-emission transport in line with India's climate commitments and formalising the gig economy with technology-backed platforms and regulatory support. We are committed to supporting the various state governments in operationalising this initiative in line with all stipulated guidelines. We will ensure responsible onboarding of riders, compliance with safety and insurance norms, and timely contributions as part of the proposed authorisation framework,' the spokesperson added. Develop a state-level framework: BTA The Bike Taxi Association said that by allowing non-transport motorcycles to be used for shared rides, the Centre has created an opportunity to widen transport access, especially in areas underserved by traditional public transit. 'As one of India's most urbanised and digitally connected states, Karnataka stands to benefit significantly from the operationalisation of Clause 23. Bengaluru, in particular, with its high traffic density and demand for last-mile options, is well-positioned to implement this model effectively. Rural and semi-urban Karnataka can also leverage this framework to address mobility gaps and promote local entrepreneurship,' the association noted. The association urged the Karnataka government to take note of the enabling policy and develop a State-level framework that permits shared mobility on non-transport two-wheelers. However, transport department officials said they are reviewing the guidelines and are not in a position to comment at this time.
News18
2 days ago
- Automotive
- News18
Route Deviation Alerts, Driver's Contact For 7 Days After Journey: Govt Lists Guidelines For Safer Cab Rides
The new provisions under the Motor Vehicles Aggregator Guidelines, 2025 also stated that each passenger must be insured for at least Rs 5 lakh. The Ministry of Road Transport and Highways has made it mandatory for cab providers to alert any route deviation to its control room immediately if the driver does not follow the route indicated in the app. The new provisions under the Motor Vehicles Aggregator Guidelines, 2025 also stated that each passenger must be insured for at least Rs 5 lakh. In addition, the contact information of the driver undertaking the journey has to be available to the passenger, through the app, for at least seven days from the end of the journey. Until now, there was no provision for the insurance of the passengers, or route deviation alert or even the contact of the driver after the trip ended. 'The aggregator shall ensure a minimum amount of Rs 5 Lakh as insurance for passengers," the government listed the condition as mandatory for getting the licences. This is an addition to the already existing health (above Rs 5 lakh) and term insurance (above Rs 10 lakh) for drivers. Vehicle Location and Tracking Devices Mandatory for bikes too The Centre has allowed state governments to decide on bike taxis to help in reducing traffic congestion and vehicular pollution, along with providing affordable passenger mobility and creating livelihood opportunities. The policy makes it mandatory for the aggregator to ensure that the Vehicle Location and Tracking Devices installed in motor vehicles functions properly. The real-time feed has to be made available to both the aggregator and the State's integrated Command and Control Centre. This will also cover motorcycles and three-wheelers. The government has also said that the driver has to follow the route indicated in the app through an in-built mechanism. 'In case of any deviation, the app shall signal the control room, which shall then connect with the driver and the passenger immediately." It also makes it compulsory that there should be a mechanism on the app to verify whether the identity of the driver undertaking a journey is the same as the one registered and verified by Police during the on-boarding process. For millions of daily app-based commuters, the new rules could mean safer, more accountable, and increasingly eco-friendly rides — with stronger safeguards in place for both passengers and drivers. 'With these mandates, the government aims to build a more transparent and accountable mobility ecosystem that balances safety, technology, and sustainability in urban transport," a government official told News18. Grievance Officer for redressal of passenger and driver issues The Ministry has made it mandatory for all the aggregators to appoint a Grievance Officer who will resolve complaints and report them to the Competent Authority through an online process. 'The details of the Grievance Officer – the name, e-mail address, and telephone number(s) shall be made available by the aggregator on its app and website," the Ministry added. Divyangjan-friendly, Electric Fleet The Centre has asked state governments to determine an adequate number of Divyangjan-friendly motor vehicles required in the state and direct aggregators to proportionately include such vehicles within their fleet. In addition, the aggregator will mandatorily adhere to the targets fixed for inclusion of electric vehicles in their fleet. The targets will be fixed by the Government organization responsible for regulating air quality or by the State Government, it said. From stricter route monitoring to compulsory insurance and cleaner fleets, the new policy marks a major step in formalising the aggregator landscape for safer and smarter city travel. First Published: July 02, 2025, 12:57 IST
News18
2 days ago
- Automotive
- News18
Ola, Uber Can't Run Cars More Than 8 Years Old As Centre Caps Vehicle Age For Cab Aggregators
Last Updated: The Government has also mandated that drivers undergo a psychological analysis conducted by the aggregator to determine whether 'they are fit to be on-boarded'. The Ministry of Road Transport and Highways has imposed an age limit on vehicles that can be used by an aggregator – including Ola, Uber and Rapido – for operations to eight years from none earlier. The Ministry issued the Motor Vehicles Aggregator Guidelines, 2025 on Tuesday. The new guidelines not only bar cab aggregators from onboarding vehicles older than eight years, but also require them to deregister those that exceed the age limit. 'An aggregator shall not onboard vehicles which have been registered for more than a period of eight years from the date of initial registration of the vehicle and shall ensure that all vehicles onboarded by it should not have exceeded eight years since the date of initial registration of the vehicle," the Ministry said. The government has also made it mandatory to display a copy of driver's licence and the motor vehicle permit inside the motor vehicle, except motorcycles. 'The said display shall be on the back side of the front seat next to the driver in such a manner as shall be clearly visible to the passengers in the motor vehicle," the Ministry said. The guidelines also stated that the app should display a clear and high-resolution picture of the driver on-boarded on the app of the aggregator. The Ministry has mandated that drivers undergo a psychological analysis conducted by the aggregator to determine whether 'they are fit to be on-boarded". Explaining this, a MoRTH official said that the cab providers need to assess the driver's mental and emotional health through a psychological evaluation. 'This has to be done by the aggregator. The aim is to check if the driver is mentally stable, emotionally balanced, and fit to handle the stress of driving and interacting with passengers," the official explained. These additions mark a shift toward stricter standardisation in aggregator vehicles. So far, these were not mentioned in the guidelines. The currently used guidelines are from 2020 when the Ministry of Road Transport and Highways Issued the 'Motor Vehicle Aggregator Guidelines 2020" under Section 93 of the Motor Vehicles Act, 1988. The guidelines provided a regulatory framework for State Governments to Issue licences and regulate aggregators in the road transport sector. 'Now, the Motor Vehicle Aggregator Guidelines 2020 have been revised to keep the regulatory framework up to date with the developments in the motor vehicles aggregator ecosystem. The new guidelines (Motor Vehicles Aggregator Guidelines, 2025) attempt to provide a light-touch regulatory system while attending to issues of safety & security of the user and the welfare of the driver," the Ministry said. No Change In Fare Share Ratio, But Payment Delays Capped The government has retained the existing fare-sharing ratio between drivers and aggregators but has now mandated a time limit for fare settlements. As per the revised guidelines, drivers – onboarded along with their vehicles – must receive at least 80 per cent of the total applicable fare, including all components under the driver's share. The remaining amount may be retained by the aggregator as Apportioned Fare. 'The payment may be settled daily, weekly, or fortnightly, but not beyond that, as per the agreement between the driver and the aggregator," the Ministry stated.
