Now, Chennai to ban ride-sharing by Ola and Uber

A 15-member committee has classified taxis as a separate category of contract carriages, and has framed rules to regulate their services after holding talks with various private players.
Image used for representational purpose only.
Image used for representational purpose only.

CHENNAI: Following Bengaluru, OLA and Uber’s ride-sharing service is facing a road block in Tamil Nadu - and might even come to a grinding halt soon. A 15-member committee, constituted by the State transport department, has classified taxis as a separate category of contract carriages, and has framed rules to regulate their services after holding talks with various private players.

Last February, leading app-based cab aggregator OLA launched carpooling services in Chennai. Soon after, other cab services including Uber started ride-sharing services here. This offered cheaper rides, while the companies also claimed it to be an eco-friendly initiative. However, there was a growing sense of discontent among the cab drivers as their profits started dwindling.

After some of the representations reached the Union Ministry of Road Transport and Highways (MoRTH), authorities asked states to review their local laws to check whether the sharing service was legal. Accordingly, an expert-committee was constituted with representatives from 10 Regional Transport Offices, senior bureaucrats and technical institutes.

Under Tamil Nadu Motor Vehicle Act, 1989, contract carriages (omni buses, auto rickshaws and cabs) are only allowed to pick up passengers from one point and drop them at another. The act does not permit contract carriages to pick up or drop passengers during a trip, a senior official from the transport department told Express. So, rules have been framed now and sent for MoRTH’s approval.

“On receiving the clearance, we might start implementing it within four weeks,” he added. “Most of the complaints that we received were to do with safety. Though an emergency button was in place, in many instances passengers were unable to report trouble from fellow passengers, often drunk, and had to rely on the driver for help,” the official said.

Meanwhile in Bengaluru, Uber announced that it would not withdraw its ride-sharing service despite the State government’s order.

It’s not just Karnataka and Tamil Nadu, ride-sharing in cabs is illegal across South Indian states and Odisha.

“As per the MVD law it is illegal to use a car pooling. However, the department is overlooking this as there aren’t any complaints from the public,” said an official with the Kerala Motor Vehicle Department. Similar is the case in Odisha. “We have not received any complaints, but will verify and take necessary action,” said Odisha Transport Commissioner.

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