Drive Ola, Uber: no commercial licence needed in Karnataka

Karnataka’s transport department lifts barrier, takes the lead in complying with Supreme Court order

June 28, 2018 12:05 am | Updated 01:36 am IST

  Welcome move:  Taxi operators say tourism sector alone needs at least 20,000 more hands.

Welcome move: Taxi operators say tourism sector alone needs at least 20,000 more hands.

Regular users of cab aggregator services can expect waiting times to shrink — if they happen to live in Karnataka. In a move that could rapidly expand the pool of available drivers, the State’s transport department has decided to issue a notification allowing people who hold a valid private light motor vehicle (LMV) driving licence to ply taxis, without having to obtain a commercial licence.

Since May this year, taxi aggregators such as Ola and Uber have been inviting people with a valid licence to join their platforms and boost their income. But many were hesitant, as the transport department hadn’t taken a clear position on this. The aggregators had based their pitch on a Supreme Court order of July 3, 2017. “The Court’s order did away with the system of obtaining a separate commercial licence to drive a taxi. Now anyone can become a taxi driver if he has a valid driving licence,” said Transport Commissioner Naveen Raj Singh. He, however, added that the rules for police verification would apply.

The Union Ministry of Road Transport and Highways had in April this year come out with an advisory asking State governments to comply with the order. Karnataka has now taken the lead.

Taxi operators have welcomed the move. Radhakrishna Holla, president, Bangalore Tourist Taxi Owners Association (BTTOA) said, “Bengaluru has a huge scarcity of drivers. The tourism sector alone needs at least 20,000 more. If rules are simplified, it will encourage women, too, to take up jobs. We had asked the State government to issue a notification, as this insistence on a commercial licence was continuing even after the court order.”

Taxi unions, however, criticised the move. “If people holding private LMV licences are allowed to drive a taxi, it will have negative impact on existing drivers, as their earnings will come down,” said Tanveer Pasha, president of Uber and Ola Drivers’ Association in Bengaluru.

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