Bengaluru: Good news for commuters; new rule likely for cab drivers

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Bengaluru, Jan 28: If Karnataka government approves a new rule, commuters in Bengaluru will be more than happy. The cab aggregators will have to register under the section 93 of the Indian Motor Vehicles act, if the new rule is passed.

All cabs including the one with cab aggregators will soon have to fix digital meter and have to operate within maximum fare limit. They will no longer be able to dictate fares via surge pricing.


The state transport department have to set certain rules for the cab aggregators under the new rule which is going to be released next week by the Law Department and following which notification is being cleared, informed officials on Thursday, Jan 28.

While speaking to media, Rame Gowda, State Transport Commissioner, said, "we will be setting fare limits for the cab aggregators and according to new rule every cab will have to install digital meters."

The following move by the Transport Department will help to regulate fare and introducing of digital fare system, instead of GPS enable phone, will bring order to an arbitrary pricing system.

Now this move will help commuters in the city as they will need to pay less during travelling.

Now, commuters are paying four times more during peak hours because of surge pricing system. Currently, the maximum fare for air-conditioned taxis is Rs 19.50 per km after a minimum charge of Rs 80 for four km. While aggregators charge anywhere between Rs 7 and Rs 10 per km.

Power to The State Transport officials

Now, drivers, who charge more through surge pricing system based on demand for the cabs, will directly come under the scanner of the State Transport Department.

Meanwhile, government officials also have been discussing the issue that cab drivers have been working with multiple platforms at a same time in order to attract more customers.

Following are the highlights of the new rule:

  • Cab aggregators have to register their vehicles under Section 93 of Motor Vehicle Act.
  • Verification of drivers will be compulsory, so that rules are being followed.
  • Aggregators have to set up and operate control rooms.
  • The cab drivers have to pay license fee and security deposit to the government.

After notification is issued, the stakeholders and citizens can file comments and objection against the new rule within 30-day.

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