he Union Ministry of Road Transport and Highways (MoRTH) has issued revised Motor Vehicle Aggregator Guidelines 2025, advising state governments to permit personal (non-transport) motorcycles to be used as taxis or delivery vehicles through ride-hailing apps. States now have three months to enable shared mobility options, signaling a transformative shift in last-mile transportation. Personal motorcycles as taxi marks a significant policy change in India’s mobility sector
🔍 Key Highlights of the New Guidelines
- Non-transport bikes recognized: Two-wheelers classified under contract carriage per the Motor Vehicles Act can now legally serve passengers and goods via aggregators.
- State-level decision-making: States decide whether to authorize such services and can levy fees on aggregators (daily, weekly, or fortnightly).
- Livelihood & mobility gains: The move aims to reduce congestion, pollution, and bring affordable transport while creating jobs. Aggregators like Rapido, Uber, and Ola have welcomed the change.
🚦 Background & Current Status
- Legal backing: The High Court in Karnataka cited MV Act sections, stating motorcycles qualify as contract carriages—helping clarify ambiguous state views.
- State resistance: Karnataka’s transport department and court recently banned current bike-taxi operations, claiming lack of clear policy; ride-hailing apps are awaiting state-level implementation.
- Precedent states: Goa (1981), Telangana, Rajasthan, and UP already allow bike taxis; Maharashtra approved policy for cities over 1 lakh population in 2024. economictimes
🚨 Stakeholder Reactions
- Aggregator optimism: Rapido calls the move “pivotal”, noting potential to expand services rapidly once states comply.
- Safety & fair-play concerns: Auto-rickshaw unions in Maharashtra and Karnataka oppose the expansion, citing unfair competition and safety issues.
- Public support: Commuters call for regulated bike-taxi systems to ease congestion and reduce costs, especially in traffic-heavy cities.
✅ Why It Matters
| Impact Area | Implication |
|---|---|
| Affordable mobility | Personal bikes offer cheaper, faster transport for short trips. |
| Gig economy boost | Opens ride-hailing income to private bike owners. |
| Regulatory clarity | Central guideline reduces legal uncertainty across states. |
| State policy divergence | Implementation timelines and formats will vary widely. |
🔭 What’s Next
- Time-sensitive roll-out: States have a 3-month deadline to notify plans and license aggregators—it’s uptake that matters now.
- Rule-making & fees: States must define licensing, safety protocols, and aggregator levies.
- Safety protocols: Helmet regulations, insurance, verified apps, and background checks will shape public acceptance.
- Impact monitoring: Early adoption will inform future guidelines on congestion, environmental benefits, and livelihood changes.
