Karnataka High Court Gives Timeline for Bike Taxi Policy Decision

The Karnataka High Court has instructed the state government to make a decision regarding a bike taxi policy within a month, emphasizing that there are lives at stake in this matter.

Hearing on Bike Taxi Operations

A division bench consisting of Chief Justice Vibhu Bakhru and Justice C M Joshi was addressing appeals from Rapido, Uber, and Ola. These appeals were against a ruling from a single judge that prohibited bike taxi operations in Karnataka unless specific rules were established under the Motor Vehicles Act.

State’s Duty to Act

The court did not provide interim relief but urged the state not to completely freeze operations while awaiting a decision. The bench pointed out that allowing cars and autorickshaws to operate as taxis while excluding motorcycles could pose constitutional issues, namely under Articles 14 (equality before the law) and 19(1)(g) (the right to conduct business).

Constitutional Concerns

The court highlighted that the absence of regulation does not inherently imply a ban. It summarised the arguments presented by the ride-hailing platforms, noting, “A blanket prohibition is unconstitutional since bike taxis are a legitimate business. In the absence of regulations, the business cannot be treated as illegal and should be allowed. The ban is therefore arbitrary, unreasonable, and violative of Articles 14 and 19(1)(g).”

Ongoing Debate on Bike Taxis

Bike taxi operations have spurred considerable debate in Karnataka. The state government has been reluctant to legalise them, citing safety and traffic concerns. This hesitation persists despite 13 other states, including Delhi and Telangana, already having established regulations for bike taxis.

Recent Changes in Guidelines

In July, the Centre updated its Motor Vehicle Aggregator Guidelines, enabling states to authorise bike taxis through permits. These guidelines include provisions such as capping surge fares at twice the base fare and permitting private motorcycles for commercial use. Although states were provided three months to implement these rules, Karnataka has not yet taken any action, leaving bike taxi services in a legal limbo.

Additionally, a report from Moneycontrol indicated that Rapido and Uber resumed their bike taxi services in Bengaluru on August 21.