Delhi govt to engage with taxi industry players over bike taxi ban: IAMAI

Internet players' industry body IAMAI on Tuesday requested the Delhi government to engage with all stakeholders in the taxi segment before taking any coercive action in view of the ban on bike taxis.

The transport department has cautioned bike taxis against plying on the roads of Delhi, warning that it was a violation of the Motor Vehicles Act, 1988, that would make aggregators liable for a fine of Rs 1 lakh.

The use of two-wheelers having a private registration mark for commercial purposes is in violation of the Motor Vehicles Act, 1988. The first offence could lead to a fine of Rs 5,000 while a second offence could incur a Rs 10,000 fine and imprisonment of up to a year, the department said in a public notice.

"IAMAI requests that the Government of NCT of Delhi engage with all relevant stakeholders - industry associations, digital platforms and affected transportation workers before any coercive action such as the steps mentioned in the public notice are contemplated," the industry, whose members include Ola, Uber etc, said.

According to officials, 25 drivers have been issued challans till Monday for driving bike taxis. They said that it has been observed that aggregators do not check whether two-wheelers have valid PUCCs and whether the vehicles are overage, which compounds the pollution problem.

IAMAI said that the Delhi government has been working on ambitious electrification plans that lay great focus on the electrification of two-wheelers which hinges on a smooth transition to clean fuels that is possible only when bike owners are able to fully utilise their assets to realise the upfront investment made in such vehicles.

While seeking clarification on the state government notice, IAMAI said that in the commercial bike aggregation sector, bike owners operate on food delivery, e-commerce and rideshare platforms interchangeably through a day and any restrictions on their ability to access one sector will negatively impact both their economic opportunities and the state's electrification goals.

"An effective public consultation will aid the government in making the right policies for this growing sector," IAMAI said.