3 min readMumbaiOct 11, 2025 01:10 PM IST
First published on: Oct 11, 2025 at 10:07 AM IST
The Maharashtra government on Friday released the draft Maharashtra Motor Vehicle Aggregator Rules, 2025, bringing app-based cab and e-rickshaw services such as Ola, Uber and Rapido under a unified regulatory framework that sets standards for fares, driver working hours, passenger safety and service quality.
The draft has been issued under Sections 73, 74 and 93 of the Motor Vehicles Act, 1988, and the state has invited objections and suggestions until October 17 before the rules are formally implemented.
Transport Minister Pratap Sarnaik said the move aims to make app-based travel more transparent and safer for both passengers and drivers. “These rules will increase public confidence, improve service quality and ensure that drivers are not exploited,” Sarnaik said.
The new framework will apply to all aggregators offering passenger motor vehicles, including e-rickshaws, motor cabs and tourist buses, while bike-taxi operators will continue to be governed separately under the Maharashtra Bike Taxi Rules, 2025.
Under the proposed structure, app-based companies will have to secure licences from either the State Transport Authority (STA) or the Regional Transport Authority (RTA). The licence fee has been set at Rs 10 lakh for the state level and Rs 2 lakh per district, with renewal charges of Rs 25,000 and Rs 5,000 respectively. Firms will also need to deposit a security deposit depending on the size of their fleet — Rs 10 lakh for up to 1,000 vehicles or 100 buses, Rs 25 lakh for up to 10,000 vehicles or 1,000 buses, and Rs 50 lakh for anything above that. The licence will be valid for five years.
To prevent erratic pricing, the draft caps surge fares at 1.5 times the base fare fixed by the RTA and bars companies from charging less than 75 per cent of that fare during low-demand hours. The convenience fee charged from riders cannot exceed 5 per cent of the base fare, and the total deduction — including the platform’s commission — cannot cross 10 per cent.
For drivers, the government has proposed a series of welfare safeguards. A driver can be logged into the app for a maximum of 12 hours a day and must take a mandatory 10-hour rest before resuming duty. Every driver joining an aggregator will have to complete a 30-hour training programme, covering service behaviour, road safety and digital literacy. Drivers whose ratings fall below two stars out of five will be temporarily suspended until they undergo retraining.
Each trip must include an optional Rs 5-lakh passenger insurance cover, and vehicles older than nine years (for autos and cabs) or eight years (for buses) will not be allowed on the platform.
The draft also specifies that aggregator apps must operate in Marathi, Hindi and English, provide real-time location sharing for passengers, and incorporate accessibility features for persons with disabilities. In a major change aimed at curbing trip refusals, drivers will not be able to see passengers’ destinations before accepting rides.
“The new framework is intended to bring greater order and accountability to the app-based mobility ecosystem, which has grown rapidly but faced frequent disputes over fares, driver commissions and passenger safety. Once finalised, Maharashtra will become one of the first states to comprehensively regulate digital taxi platforms through its own set of rules, modelled on the Centre’s 2020 aggregator guidelines,” the official explained.
The convenience fee charged from riders cannot exceed 5 per cent of the base fare, and the total deduction — including the platform’s commission — cannot cross 10 per cent. (Express Photo) 
Share
