The Karnataka High Court has ordered app-based ride-hailing platforms, including Ola, Uber, and Rapido, to stop offering bike taxi services in the state. The court has given them six weeks to cease operations and has directed the state government to frame necessary regulations within three months.
Justice BM Shyam Prasad ruled that bike taxis cannot operate unless the government defines rules under Section 93 of the Motor Vehicles Act, 1988. The ruling came in response to petitions from the ride-hailing companies, which had sought aggregator licenses and recognition of bike taxis as a transport service.
The Karnataka government had earlier restricted bike taxi services in 2021, prompting the companies to challenge the decision in court. While an interim order had prevented authorities from taking action against them, the latest ruling now mandates a complete halt to their operations after six weeks.
Transport Minister Ramalinga Reddy welcomed the verdict, emphasising the need for proper regulations to ensure passenger safety. Meanwhile, the affected companies are considering legal options. A senior executive from one of the firms said they would appeal the ruling, arguing that the central government allows bike taxis under the Motor Vehicles Act, though individual states have the authority to regulate them.
Rapido, which started in Karnataka, voiced concerns over the impact on its riders and captains. The company claims that over 10 lakh bike taxi riders complete 20 lakh rides weekly in the state. Meanwhile, other states like Delhi and Maharashtra have introduced policies allowing bike taxis but with restrictions, such as limiting them to electric vehicles or imposing fleet size requirements.
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