NEW DELHI: In a bid reduce traffic jams and increased ease of doing business, state governments can give taxi permits for all kind of vehicles including two-wheelers, a top government official said in the parliament today.
Mansukh L Mandaviya, Minister of State for Road Transport and Highways informed Lok Sabha “Under the Motor Vehicle Act 1988, the states can issue give taxi permits under section 72 and 73,” while replying to a written query whether the bike taxis have been made legal in 14 states.
At a time when the majority of metros are congested by traffic jams and state governments are failing to strengthen public transport, this move will not only help consumers to get the cheap mode of transport but also help to reduce traffic congestion and generate employment at the same time.
Mandaviya also added, “State governments are competent to frame regulation to enable bike taxis as the government is in favor of shared mobility which will help in reducing traffic from the road.”
Earlier, Road Transport and Highways minister Nitin Gadkari has emphasized to reduce the traffic from the road for which the government is planning to facilitate the rollout of bike taxi on a bigger scale
Until last year, most bike taxi companies have been shutting down due to lack of clarity on regulation and lack of funding of local players. Moreover, mainstream players like Ola and Uber did not take the segment seriously.
Haryana which was the one of the first state to provide commercial bike taxi license saw most of the players like Dot, TuWheelz and Rideji winding their operations.
Similarly, Bengaluru companies like Headlyt, Heybob and Zingo Shut down operations.
Hopefully from new draft regulation, bike-taxi companies are eyeing fresh investments to operate at full efficiency.