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Karnataka High Court lifts ban on bike taxis, allows operators to apply for permits
The Karnataka High Court on Friday lifted the ban imposed by the State Government on bike taxi operations in the State.
A division bench of Chief Justice Vibhu Bakhru and Justice CM Joshi allowed appeals filed by ride-hailing services including ANI Technologies (Ola), Uber and Rapido, challenging a single Judge order, issued in April last year, ending bike taxi services until a policy was in place.
The court ruled that motorcycles very much fell within the realm of the definition of “transport vehicles” under the Motor Vehicles Act, 1988. The State government cannot refuse or deny permits to such vehicles on the gorund that motorcycles are not transport vehicles.
The Court said bike taxi operators could file applications before the transport authorities to get contract carriage permits to offer bike taxi services.
The court said the government was free to decide on such applications but cannot refuse permit on the grounds that the vehicles is a motorcycle.
“Taxi owners are at liberty to file applications for registration of the vehicle as transport vehicle ... We direct the State government to consider such applications for registration of the owner of vehicle as transport vehicle and grant permission to operate as contract carriages. While concerned authority are not precluded from examining the relevant aspects, the same will not be denied on the ground that motorcycles cannot be operated as transport vehicle or contract carriages. The regional transport authority may impose such conditions as it may consider necessary ... in accordance with law, having regard to Section 74(2) MV Act. Aggregators are also at liberty to file fresh applications...and in the event such applications are filed, they will be considered in accordance with law and observations of this court. Impugned Order is set aside and Appeals are allowed in the aforesaid terms,” the judgement said.
The division bench heard writ appeals from ANI Technologies (Ola), Uber, and Rapido as well as the Bike Taxi Welfare Association against the April 2 judgment by a single-judge bench disallowing bike taxi operations in the absence of a policy. The ban came into effect on June 16.
A Uber spokesperson said: "We welcome the Hon'ble High Court's decision to recognize bike taxis as a legal mode of passenger transport in Karnataka. Bike taxis serve as a vital mobility lifeline for Indian cities, offering people an affordable and convenient way to navigate traffic. The decision will also bring relief to lakhs of drivers who depend on it for their livelihood. We look forward to engaging with the State Government on operationalising this mobility ecosystem and serving the mobility needs of our cities across the spectrum.”
The division bench had, during hearing of the appeals, had observed that bike taxis were legally permitted in 13 states, and said the trade was protected under Article 19 (1) (g) of the Constitution. It described the ban as “de facto prohibition”, stressing that a legitimate trade cannot be banned per the Constitution, though the state was free to regulate it. The Central Motor Vehicle Aggregator Guidelines, 2025, also permit bike taxi operations, subject to state approval.
While ruling that ride-hailing platforms cannot offer bike taxi services in Karnataka until a policy is in place, Justice BM Shyam Prasad had, in his April 2 judgment, noted that the state government must be alive to emerging circumstances, in an obvious reference to people looking for multiple options to commute in Bengaluru.
“If the circumstances justify a new approach, the state government should not lag and should be open even to the petitioners (Uber, Ola, Rapido) to goad the state government to (make) such a change'', noted the judge, and added: “…an institution which refuses change becomes the architect of decay''.
In March last year, the state government banned the operation of bike taxi services because the ride-hailing platforms were not offering electric two-wheelers and because of the gross misuse of the current policy. The government also claimed risks to women's safety while withdrawing its EV bike taxi scheme last year.
Source: EconomicTimes
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