
The state government has cited blatant misuse of the service as the reason behind the cancellation.

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The state government has cited blatant misuse of the service as the reason behind the cancellation.
The Karnataka Government scrapped the Electic Bike Taxi Scheme 2021 in the state due to its blatant misuse. Authorities were notified by the state government to repeal the scheme since e-bike taxis were not used rather non-transport bikes (bikes with white number plates) were operating as commercial vehicles, which is a direct violation of the scheme. Ugly confrontations between auto and taxi drivers over there operations and safety issues with regards to women, further triggered law and order concerns over its legal status and viability.
Interestingly, the Union Ministry of Road Transport and Highways introduced a standardised approach towards bike taxi services earlier this month The advisory board appointed by the ministry clarifies that motorcycles are categorised as contract carriages under the Motor Vehicles Act of 1988, which by default should qualify them to legally operate as taxis for hire. The fact that this suggestion made by the advisory were still subject to approval/disapproval by the states, the recent ruling by the Karnataka government is proof to that.
(Also Read: Indian Government Set To Legalise Bike Taxis Nationwide)
The Electric Bike Taxi Scheme was introduced in Karnataka in 2021 to promote last-mile connectivity and also to generate self-employment. But three years since its launch, the transport department received a very lukewarm response. Coupled with the fact that app-based aggregators like Ola, Rapido and Uber started registering massive usage of its bike taxi service and most of these bikes were primarily private owners plying as commercial vehicles, the scheme’s legal status was challenged and nullified in the process.
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