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Commuters worry about rising costs as Karnataka High Court puts brakes on bike taxis

GenevaTimes by GenevaTimes
April 2, 2025
in Business
Reading Time: 4 mins read
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Commuters worry about rising costs as Karnataka High Court puts brakes on bike taxis
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Vijay (name changed) lives 12 km from his office and relies on bike-taxis and the metro for his daily commute. “I spend nearly ₹140 on a bike taxi every day to travel to the nearest metro station from my home, as compared to the ₹240-400 charged by auto-rickshaws and cabs,” he said. 

The Karnataka High Court’s ruling on Wednesday that bike taxi aggregators cannot operate in the state unless the government issues appropriate guidelines under Section 3 of the Motor Vehicles Act, 1988, along with the required regulations, is sure to stretch the budgets of many like Vijay.

 “I currently spend around ₹2,000 every month on commuting. With this new decision, I will have no choice but to shell out ₹5,000 or more just to get to work,” he added.

This move comes at a time when Bengaluru is grappling with rising public transportation costs. Metro fares were revised on February 9, and BMTC bus fares increased by 15 per cent in January, further straining daily commuters with fewer affordable options.

What is this ruling order for?

The Karnataka High Court has ordered the state government and transport department to ensure that bike-taxis cease operations within six weeks.

Justice B.M. Shyam Prasad ruled that petitioners, including Rapido, Uber, Ola, and other bike taxi aggregators, must discontinue their services within the specified timeframe, according to news reports. The court has granted the state government three months to establish the necessary rules and guidelines for regulating bike taxi operations.

During the hearing, the court observed that Ola, Uber, and Rapido had been operating bike taxis under an interim order previously issued by the court in 2022.

“The Hon’ble High Court of Karnataka has directed aggregators to cease operations of bike taxis after 6 weeks and accordingly directed the State Transport Department to not take any adverse action within such time. Karnataka born Rapido is concerned about the welfare of lakhs of bike taxi captains on-boarded on the platform, and will evaluate and pursue appropriate legal remedies once the detailed order is made available,” said a Rapido spokesperson.

Other ride-hailing companies like Ola and Uber are yet to react to the development. However, the move has been welcomed by the auto unions. Backing the ruling,Tanveer Pasha, President of the Auto Union Federation, said this move will ensure better earnings for the auto drivers.

“Rapido alone facilitates around 10 lakh rides per day in Bengaluru. Of these, nearly 5 lakh rides could have gone to auto and taxi services instead,” he said, emphasising that bike taxis are diverting passengers away from traditional transport options.

Highlighting concerns over bike taxis, Pasha pointed to safety, comfort, and the sustainability of the transport industry. “Autos are meant for public transport, while bikes are for personal use. If bike taxis continue to operate at this scale, it will impact autos, taxis, and cabs. People seek comfort while traveling, how will their needs be met if bike taxis dominate the market?” he questioned.

Adding to the rising costs in Karnataka, including the recent 3 per cent increase in sales tax on diesel, which has pushed prices from ₹89.02 to ₹91.02 per litre, along with hikes in metro and bus fares — the ban on bike taxis is set to further strain commuters, and will significantly affect last-mile connectivity in the city.”

(with ANI inputs)

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Published on April 2, 2025



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