Good news for Rapido, Ola, Uber as govt set to legalise bike taxis

Mobility firms and startups, often at odds with state transport departments over the operation of two-wheelers as taxis and rentals, are likely to find relief following the recent advisory from the Union Ministry of Road Transport and Highways (MoRTH). In an advisory dated January 22, 2024, MoRTH clarified that motorcycles fall within the definition of contract carriages as per Section 2(7) of the Motor Vehicles (MV) Act, 1988. The advisory states, "All states/UTs are advised to accept and process applications for contract carriage permits for motorcycles under the provisions of the MV Act and the rules."