

NEW DELHI: The Ministry of Road Transport and Highways has proposed reforms to make cab rental businesses easier to start and operate, expand rental choices and strengthen passenger safety. The proposed framework combines simpler procedures with better customer support.
One of the key provisions is that operators may offer cabs with or without drivers. The minimum fleet requirement of 50 vehicles has been relaxed to just five units, with at least two cabs per place of operation. The requirement for branches in five tourist cities has also been removed.
The minister states that a single licence, valid across the State or Union Territory (UT) for a uniform fee, replaces separate main and branch licences. Approved places of operation may include airports, stations and bus terminals.
Licence grants and renewals have a proposed 60-day timeline. Adding or removing cabs or places of operation has a 30-day deemed-approval mechanism.
"Cabs must have location tracking, child restraint systems (optional) and first-aid kits. Operators must provide a website, 24-hour grievance support, emergency repairs and towing. Operator-provided drivers would require police verification, with welfare under the Code on Social Security, 2020. Specified serious offences involving a cab or operator-provided driver will reduce the operator’s licence validity," say ministry officials.
In the proposed reforms, operators get time to correct non-material violations before suspension or revocation is considered. An appellate mechanism with electronic hearings is also introduced.