The Maharashtra government has notified its long-awaited aggregator policy for app-based cab services such as Ola and Uber. The policy introduces rules for fares, driver training, EV adoption, as well as financial penalties for cancellations, The Times of India reported.
A Government Resolution (GR), issued on Tuesday and approved by the state cabinet outlines a regulatory framework aimed at ensuring fair practices and a smoother experience for riders and drivers alike.
To address frequent trip cancellations, the policy imposes financial penalties on both parties. "To discourage unnecessary trip cancellations and ensure a smooth experience for stakeholders, penalties should be imposed on both drivers and passengers for cancellations. If a driver cancels a booking after accepting it on the app, a penalty of 10% of the total fare or Rs 100, whichever is lower, will be imposed and credited to the customer's account. If a passenger cancels a trip without a valid reason after booking it on the app, a penalty of 5% of the total fare or Rs 50, whichever is lower, will be imposed and credited to the driver's account," the GR states.
The policy also standardised fare structures. Base fares will be pegged to those notified by the Regional Transport Authority. Discounts during off-peak hours are capped at 25%, while surge pricing during high demand cannot exceed 1.5 times the base fare. The minimum trip distance has been fixed at 3 kilometres, and drivers are entitled to at least 80% of the fare.
The GR mandates that aggregators operate through safety-compliant platforms with features such as real-time GPS tracking, emergency contacts, and verified driver credentials. A grievance redressal mechanism must also be in place.
Driver training through recognised institutions will be compulsory at the time of licence renewal. In addition, insurance coverage is required for both drivers and passengers.
The policy also encourages a shift to electric mobility. "As part of the move towards sustainable energy, aggregators should gradually incorporate EVs into their fleet," the GR states.
A Government Resolution (GR), issued on Tuesday and approved by the state cabinet outlines a regulatory framework aimed at ensuring fair practices and a smoother experience for riders and drivers alike.
To address frequent trip cancellations, the policy imposes financial penalties on both parties. "To discourage unnecessary trip cancellations and ensure a smooth experience for stakeholders, penalties should be imposed on both drivers and passengers for cancellations. If a driver cancels a booking after accepting it on the app, a penalty of 10% of the total fare or Rs 100, whichever is lower, will be imposed and credited to the customer's account. If a passenger cancels a trip without a valid reason after booking it on the app, a penalty of 5% of the total fare or Rs 50, whichever is lower, will be imposed and credited to the driver's account," the GR states.
The policy also standardised fare structures. Base fares will be pegged to those notified by the Regional Transport Authority. Discounts during off-peak hours are capped at 25%, while surge pricing during high demand cannot exceed 1.5 times the base fare. The minimum trip distance has been fixed at 3 kilometres, and drivers are entitled to at least 80% of the fare.
The GR mandates that aggregators operate through safety-compliant platforms with features such as real-time GPS tracking, emergency contacts, and verified driver credentials. A grievance redressal mechanism must also be in place.
Driver training through recognised institutions will be compulsory at the time of licence renewal. In addition, insurance coverage is required for both drivers and passengers.
The policy also encourages a shift to electric mobility. "As part of the move towards sustainable energy, aggregators should gradually incorporate EVs into their fleet," the GR states.
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