NEW DELHI: In a move to modernise urban mobility, strengthen the gig economy and promote inclusion, the Centre has overhauled the Motor Vehicles Aggregator Guidelines, authorising states to set annual targets for electric vehicle (EV) adoption in app-based transport fleets.
The revised guidelines, issued by the Ministry of Road Transport and Highways (MoRTH), aim to accelerate the transition to sustainable transport and ensure greater inclusion of persons with disabilities.
While the Centre has stopped short of mandating a national EV quota, the new rules require a steady year-on-year increase in the share of EVs in aggregator fleets. State governments are now empowered to set and enforce these targets based on the needs of each state.
The framework also mandates that a portion of aggregator fleets be made accessible to persons with disabilities (Divyangjan). The states can now fix specific quotas for both Divyangjan-friendly vehicles and their representation in the driver workforce.
“In addition to customer- and driver-friendly reforms, the guidelines promote sustainability and inclusion. States will decide annually the number of EVs to be added. Similarly, they will determine how many Divyangjan-friendly vehicle aggregators must operate,” a ministry official told the TNIE.
The updated rules also close several regulatory gaps from the previous version. Aggregators will now apply for a single licence covering all vehicle types—cars, bikes, and autos—across the entire state, streamlining the compliance process.
To safeguard gig workers, the government has made comprehensive insurance coverage mandatory. Aggregators must provide drivers with a health cover of at least Rs 5 lakh and a term life insurance policy worth Rs 10 lakh. Each passenger trip must also be insured up to Rs 5 lakh.
The guidelines bar aggregators from demanding platform exclusivity. Drivers will be free to operate on multiple platforms, giving them greater control over their time and income.
The new framework also greenlights the use of private (non-commercial) motorcycles for app-based passenger transport and deliveries—a move that is expected to transform last-mile connectivity across the country.
States can now permit private bike owners to offer shared mobility services, thus legitimising bike taxis that had previously operated in what could be termed a legal grey area.
“Bikes are crucial for last-mile access in areas where cars can’t reach. Their effectiveness was clearly seen during the Mahakumbh,” an official said.
States have three months to adopt the new guidelines, which signal a major policy shift towards cleaner, more inclusive, and better-regulated urban transport. With EV adoption, accessibility mandates, and platform flexibility now embedded in law, the aggregator sector is poised for a more accountable and future-ready transformation, officials believe.