Maharashtra Govt Proposes To Bring Cab Aggregators Under Motor Vehicles Act

The Government of Maharashtra has proposed that online cab aggregators like Uber, Ola, TaxiForSure and other should be brought under the ambit of the Motor Vehicles Act.

In a bid to create a level playing field for black and-yellow taxis, fleet taxis and aggregator cabs the state government also came out with a notification for a new ‘City Taxi Scheme 2015’.

The states’ home department is considering amending the Maharashtra Motor Vehicles Rules, 1989 by adding sub clauses to include web and mobile-based aggregators under the act.

The move is sure to restrict and impact the business to an extent.

Some of the key highlights of the complete proposal are:

• The vehicle shall not be offered for hire through an aggregator who is not duly registered with the Transport Department.
• The holder shall fit a GPS/GPRS device in his vehicle conforming to the specifications prescribed by State Government.
• The Taxi should be driven on clean fuel i.e.Petrol and CNG/LPG/Hybrid/Electrical.
• Taxi shall be fitted with GPS and GPRS based tracking device, printer, and a display panel showing the path traversed and total distance covered.
• Taxi should be replaced by a new vehicle on completion of 20 years or as may be decided by State Transport Authority from time to time.
• The details containing the photograph of the driver, license number, PSV Badge number and registration mark of the vehicle etc. shall be displayed prominently inside the taxi.
• Working hours of drivers is to be limited in accordance to the Motor Transport Workers Act, 1961.
• After scrutiny of application and upon being found eligible, license will be granted for a period of five years upon furnishing a bank guarantee of INR 50 lakhs.
• Any person who has been convicted within the past seven years of driving under the influence of drug or alcohol, also has been convicted at any time for any cognizable offence under the Criminal Code of Procedure 1973 including fraud, sexual offences, use of a motor vehicle to commit a cognizable offence, a crime involving property dispute and/or theft, acts of violence or acts of terror must not be engaged by the licensee.

The draft notification, which proposes to bring aggregators under the ambit of the Motor Vehicles Act and IT Act is open to suggestions and objections from stakeholders and commuters.

The suggestions and objections can be sent to dycommr.enf1@gmail.com by October 31, 2015.

Note: We at Inc42 take our ethics very seriously. More information about it can be found here.