Centre issues guidelines for bike taxi services: Karnataka ban maybe reconsidered

In a significant move that could reshape urban mobility, the Central government has released new guidelines allowing the use of private motorcycles for passenger transport under aggregator platforms such as Uber, Ola and Rapido. This comes in the wake of Karnataka’s recent ban on bike taxi services, sparking renewed debate on the issue.

Also Read:Bike taxi ban deepens Bengaluru’s traffic woes, triggers public outrage

The ministry of Road Transport and Highways has issued the Motor Vehicle Aggregator Guidelines 2025, which permits state governments to authorize aggregators to use private two-wheelers for ferrying passengers. This policy shift is aimed at improving last-mile connectivity, easing urban traffic congestion, curbing pollution and offering affordable travel solutions.

However, the implementation of these services remains subject to the approval of state governments. According to the guidelines, states may grant licenses to aggregators under Section 67(3) of the Motor Vehicles Act, allowing them to deploy private bikes for passenger transport. The policy also empowers state governments to charge license fees for daily, weekly or 15-day permits.

The Centre’s announcements holds particular relevance for Karnataka, where the bike taxi industry faced a severe setback due to a state-imposed ban last month. Now, with these fresh guidelines issued by the Central government, Karnataka has the opportunity to revisit its stance and potentially revive the stalled sector under regulated terms.

Proponents argue that regulated bike taxis can provide income opportunities, reduce commuting time and supplement existing public transport networks. As pressure mounts on the Karnataka government to align with the Centre’s vision, the ball now lies in the state’s court.