The world is changing fast and we are moving from ownership from usership. Due to this, many industries are affected and do not know how to navigate this in the light of changed customer behaviour. This trend led to rise of auto cab aggregators as the generation moves away from the onus of owning and maintaining.
Slowly, cabs took over the need of owning cars. Gradually, the trend transcended to two-wheelers too. Bike taxi aggregators increased and so did their adoption. People were enabled to move at just Rs. 5/KM. All was merry until government stepped in and now let’s just say that the bike taxi aggregators space is in hot waters.
Let’s take a deep dive to know further.
In a significant setback for bike taxi operators, the Supreme Court has temporarily suspended the order of the Delhi High Court that permitted bike taxis to operate in the capital city. The apex court has halted the high court’s decision that allowed bike taxi aggregators like Rapido and Uber to function without aggregator licenses until the final policy is officially announced.
Supreme Court puts on hold the Delhi High Court order staying a notice of city government to bike-taxi aggregators Rapido and Uber and allowing them to operate without aggregator licenses till the final policy has been notified. pic.twitter.com/8jBElM1CQk
— ANI (@ANI) June 12, 2023
Supreme Court stays Delhi HC order allowing bike taxis to ply
The Delhi government has assured the Supreme Court that it will establish guidelines and a licensing policy for bike aggregators by July 31 to regulate their operations.
This development comes after the Supreme Court sought the views of the central government regarding the Delhi government’s appeal against the high court order. The Delhi High Court had stayed a notice issued to bike taxi aggregator Rapido, enabling it to continue its operations until the final policy was implemented.
The Delhi government, in its plea, argued that Uber and Rapido were utilizing non-transport vehicles, including two-wheelers, for aggregation and ride pooling, which is not permitted under the Motor Vehicles Act.
Delhi Motor Vehicle Aggregator Scheme Waiting for Approval
The Delhi government stated that the Delhi Motor Vehicle Aggregator Scheme, 2023 is awaiting approval from the competent authority. The plea emphasized that the operation of bike taxis by the respondents should not be permitted without fulfilling conditions such as police verification, the installation of GPS devices, panic buttons, and other measures to ensure road safety and passenger security.
The bench inquired whether the bike taxis were using private number plates and if they had permission to operate under such plates. The government’s counsel clarified that bike taxis must obtain a license. The state government has drafted a policy on this matter and has sought public comments.
The Supreme Court had previously highlighted the high risk associated with bike taxis, as there is no insurance coverage in the event of accidents.
