Delhi Transport Department bans bike taxi

The National Capital Region joins states like Karnataka and Maharashtra who have recently banned bike taxi for commercial usage.

By Amit Vijay M calendar 20 Feb 2023 Views icon6768 Views Share - Share to Facebook Share to Twitter Share to LinkedIn Share to Whatsapp
Delhi Transport Department bans bike taxi

After being banned in Meghalaya, Karnataka & Maharashtra, the fledgling US$ 50.5 million Indian Bike taxi market has suffered yet another jolt with Delhi banning the commercial usage of bike taxis.

A public order of the Delhi Transport Department noted bike taxis in Delhi-NCR violated the Motor Vehicle Act, 1988, as the Act prohibits using two-wheelers for commercial purposes.

As per the latest order, the Delhi Transport department has banned Rapido, Uber and Ola from operating bike taxis in the countries' national capital with aggregators violating the order to be penalised with a fine of INR 1 Lakh.

According to the bike-taxi aggregators, each driver or captain receives a daily wage of ₹300 to ₹500 a day for short-distance travels such as three kilometers to eight kilometers. Also in many Indian cities consumers, especially office goers, in the metros have been rooting for bike taxis, unhappy with the monopoly and service rendered by taxi and rickshaw operators who refuse to take passengers for short last-mile trips.

Currently, the states that continue to allow bike taxis include Andhra Pradesh, Haryana, Gujarat, Telangana, West Bengal, Punjab, Rajasthan, Bihar and Madhya Pradesh. 

According to research analysts, the Indian bike taxi market is expected to reach $1,478.0 million by 2030, registering a CAGR of 48.5% from 2022-2030.

It may have a big impact on players like Rapido which has raised over $300 million since its inception with marquee names like WestBridge, TVS Motor, Shell Ventures, and Nexus Ventures backing this last mile mobility company.  Over 30 million consumers have hitched a ride on Rapido’s ride-hailing app and it claims to deliver over a million rides across 100 plus cities daily.

A transport industry expert told Autocar Professional, "Bike-taxi addresses urban mobility needs and is a relevant solution for mobility as a service helping consumers negate the rising fuel costs with lower prices. Easy maneuverability gives a big push for last-mile connectivity.  Paratransit transportation services such as bike taxis have made transportation more affordable and accessible,” he said requesting anonymity.  

RELATED ARTICLES

Blue Energy Motors Hits 100 Million Green Kilometres

auther Sarthak Mahajan calendar04 Jun 2026

India's leading clean trucking manufacturer reaches a landmark fleet milestone, with over 1,400 EV and LNG heavy-duty tr...

JCBL South Delivers 1,000 Containers to GE Vernova

auther Sarthak Mahajan calendar04 Jun 2026

India's JCBL South completes one of its largest international clean energy manufacturing orders, supplying certified con...

India Plans 500 Flex-Fuel Pumps This Year, 5,000 by 2027-End

auther Kiran Murali calendar04 Jun 2026

Maruti Suzuki and Hero MotoCorp have introduced their flex-fuel vehicles.