The Maharashtra government has proposed a temporary regulatory framework requiring illegal bike taxi operators to pay a daily fee of ₹5 starting August 1. In addition, these operators must contribute 2% of every ride's fare to a welfare fund for bike taxi drivers. The policy will be in effect until the state's electric bike taxi policy is fully implemented, Maharashtra transport minister Pratap Sarnaik said, according to inc42.com.
The proposal was sent to the state law and judiciary department for approval, marking a shift from the government's earlier hardline stance against bike taxis. Earlier this year, Maharashtra had ordered Google and Apple to remove ride-hailing apps like Uber and Rapido from their app stores due to illegal bike taxi operations but revoked the order a day later. Starting August 1, the government will begin issuing permits under the new framework, requiring drivers to have a Maharashtra domicile certificate and government authorization.
This move aims to regulate the rapidly growing bike taxi segment, which had operated without legal sanction in Maharashtra until now. The temporary fee and welfare fund contributions are designed to formalize the sector ahead of the full electric vehicle bike taxi policy. Similar regulatory efforts in other Indian states have sought to balance innovation in urban mobility with safety and labor protections. The welfare fund is expected to support drivers' social security and benefits.
The new framework will take effect on August 1, with the government set to start issuing permits to bike taxi operators who meet the new criteria. The welfare fund and daily fee will remain until the electric bike taxi policy is fully implemented, providing a structured transition for the sector.