While cities across the world are encouraging transport-sharing models, Karnataka has put the brakes on cab pooling by app-based taxi aggregators citing an outdated law.
The transport department on Monday said pooling services like OlaShare and UberPool violate permits and cannot continue. The department is open to cab sharing as a way to address mobility issues, but will allow such services after amendments are made to the Motor Vehicles Act with the consent of the Union and state governments.
After meeting transport officials, Ola and Uber representatives admitted their shared cab services were illegal and sought three days to change their software. Shared cab services with multiple pick-up and drop-off points will be removed. But the department has allowed cabs to pick up and drop more than one passenger between two fixed points. Transport commissioner MK Aiyappa said, "Contract carriage permits issued under the Motor Vehicles Act, 1989, do not allow cabs to pick up passengers from different points and drop them at different points. Cab companies have sought three days' time to change their software. After the deadline on Friday, we will take action against erring cabs."
The move is a jolt to commuters as pooling was easy and affordable. The transport department's move is also a fallout of the tussle between cab drivers and aggregator companies over pricing of trips.
The transport department on Monday said pooling services like OlaShare and UberPool violate permits and cannot continue. The department is open to cab sharing as a way to address mobility issues, but will allow such services after amendments are made to the Motor Vehicles Act with the consent of the Union and state governments.
After meeting transport officials, Ola and Uber representatives admitted their shared cab services were illegal and sought three days to change their software. Shared cab services with multiple pick-up and drop-off points will be removed. But the department has allowed cabs to pick up and drop more than one passenger between two fixed points. Transport commissioner MK Aiyappa said, "Contract carriage permits issued under the Motor Vehicles Act, 1989, do not allow cabs to pick up passengers from different points and drop them at different points. Cab companies have sought three days' time to change their software. After the deadline on Friday, we will take action against erring cabs."
The move is a jolt to commuters as pooling was easy and affordable. The transport department's move is also a fallout of the tussle between cab drivers and aggregator companies over pricing of trips.