The State Transport Authority (STA) of Maharashtra has granted provisional licences to the parent firms of Ola, Uber, and Rapido to run bike taxi services in the Mumbai Metropolitan Region (MMR). The decision, taken under the newly notified Maharashtra Bike Taxi Rules 2025, is seen as a major step towards formally regulating a service that has until now operated in a grey zone.
The licences were given to ANI Technologies (Ola), Uber India Systems, and Roppen Transportation Services (Rapido). The firms must now apply for permanent approvals within a month after meeting all compliance conditions. An application by Smart-Ride was rejected for not meeting the eligibility criteria.
Fare structure announced
At its meeting on August 18, chaired by Transport Secretary Sanjay Sethi, the STA approved a fare formula for bike taxis for the first time. The minimum fare has been set at Rs 15 for the first 1.5 km, and Rs 10.27 per km thereafter. The rates were derived using the Khatua Committee formula, which is already used to calculate fares for taxis and autorickshaws, and will be reviewed after a year.
Bike taxi fares are expected to be less than half the cost of traditional cabs (Rs 31 minimum) and autorickshaws (Rs 26 minimum), potentially offering commuters a much cheaper option for last-mile connectivity.
Until now, bike taxis in Mumbai had been running despite a 2023 government ban on using private two-wheelers for commercial ride-hailing. Several operators, including aggregators, faced FIRs for illegal operations and dynamic pricing.
The state government later issued a resolution allowing bike taxis and bike-pooling in urban areas with populations above one lakh, paving the way for the current licensing framework. Officials confirmed that regional transport offices (RTOs) had already booked 123 cases against unauthorised bike taxis operating in MMR.
Aiming for transparency and safety
Transport Secretary Sanjay Sethi said the new licensing regime is designed to ensure transparency, consumer protection, and fair competition. “The objective is to integrate bike taxis into the state’s urban mobility network while offering commuters a safe and affordable mode of transport,” he said.
With the fare structure now officially declared and licences issued, officials said regulated services could be rolled out in the coming months, giving both commuters and aggregators legal clarity after years of uncertainty.