The City Taxi Scheme, 2017, a regulatory framework for cabs plying in the Capital, is likely to be bifurcated to accommodate app-based aggregators such as Uber and Ola, sources claim.
While the general provisions of the scheme will govern permit conditions for vehicles providing taxi services in Delhi, separate rules will pertain to licensing conditions for, and aimed at regulation within the existing legal framework of, app-based service providers.
Sense of relief
The scheme is scheduled to be reviewed by Transport Minister Kailash Gahlot next week. The bifurcation, if approved, will bring relief to Uber and Ola which, the Transport Department maintained, were so far operating illegally in the city due to laxities in enforcement.
It will also pave the way for app-based aggregators to “officially register” themselves in the Capital for the first time since these were banned as per a directive in the wake of the rape of private executive aboard a cab in late 2014.
“The policy has been bifurcated as app-based aggregators fall within the ambit of canvassing as per amendments to Section 93 of the Motor Vehicle Act, which allows States to issue licences to cab aggregators,” said a source, adding that States such as Maharashtra and Rajasthan had already adopted a similar framework.
Every aggregator should, however, “comply with the provisions of the Information Technology Act, 2000, and the rules and regulations made thereunder”. The source also pointed out that aggregators found “operating in contravention of the provisions of Section 93” would be punished with a fine up to ₹1 lakh but not less than ₹20,000.
Caps on fares
It would also institute caps on fares as well limit the total number of vehicles that can be operated by them. “Strict enforcement of the licensing conditions will ensure that the aggregators operate with more accountability,” added the source.
