In a recent decision, the Pune Regional Transport Office (RTO) has banned four taxi aggregator companies, including Ola, Uber, K Valuation Technologies, and Rapido, from running autorickshaw services in Pune. The decision has come as a major blow to these companies, as they had applied for autorickshaw permits to run mobile app-based services in the city. The ban is effective immediately, and the companies have been instructed to suspend autorickshaw services.
Reasons for the Ban
The ban comes after the Bombay High Court ordered bike taxi firm Rapido to stop services in Maharashtra by January 20, 2023, after the Pune RTO rejected their application. Following this, the Pune district collector Rajesh Deshmukh called a meeting of Pune Regional Transport Authority (RTA) officials to discuss the applications of the four aggregator companies. While Ola and Uber had applied for both categories of four-wheeler light motor vehicles and three-wheeler autorickshaws, K Valuation Technologies and Rapido sought aggregator licenses only for three-wheeler autorickshaw services.
The Pune RTO rejected the applications of all four companies, citing a lack of clarity on the regulatory framework for autorickshaw services. The RTO stated that they would seek guidance from the government regarding the issuance of aggregator licenses for four-wheeler light motor vehicles.
Consequences and Impact on Consumers
The ban on autorickshaw services by taxi aggregators has led to widespread discontent among passengers who regularly use these services. Many people have expressed their unhappiness over the decision, as it will make travel expensive for them.
The convenience of mobile app-based autorickshaw bookings has made it a popular mode of travel among people in Pune. Many passengers prefer autorickshaws to cabs as they are more affordable and can be used for solo travel. However, with the ban on these services, passengers will be left with limited options, which may lead to an increase in fares.
Moreover, the ban on autorickshaw services by taxi aggregators is likely to have a significant impact on the livelihoods of autorickshaw drivers who depend on these services for their daily earnings. The decision may lead to a loss of income for them, as they may not be able to find enough customers to sustain their business.
Way Forward
The Pune RTO has extended the operation of the interim order of the court until April 20, 2023, to enable the petitioners to apply for a license and for the state government to take an appropriate decision. The state government has been urged to take an expeditious decision on the formulation of an appropriate policy, which may be embodied in terms of rules that are framed under the Act. The decision of the state government should be taken expeditiously to avoid litigation and uncertainty.
Conclusion
The ban on autorickshaw services by taxi aggregators in Pune has caused widespread unhappiness among passengers who regularly use these services. The decision is likely to lead to an increase in fares, which may make travel expensive for many people. It is crucial for the state government to take an expeditious decision on the formulation of an appropriate policy to address the issue of regulatory framework for autorickshaw services. Such a policy should take into account the interests of all stakeholders, including passengers, autorickshaw drivers, and taxi aggregators.
