Maharashtra’s New Cab Policy: Passengers Pay Penalty for Cancelling Rides, Fare Caps, Safety Rules & EV Push
In a landmark decision, the Maharashtra cabinet on Tuesday, May 20, approved the Aggregators Policy, introducing strict regulations for app-based cab services, including fare caps, cancellation penalties, and updated carpooling rules. The policy aims to ensure fair pricing, transparency, and passenger safety in the ride-hailing sector.
Key Highlights of Maharashtra’s Aggregators Policy
1. Fare Structure & Distance Regulation
- Fares must align with Regional Transport Authority (RTA) rates for autos and taxis.
- Off-peak discounts capped at 25% of the regular fare.
- Surge pricing limited to 1.5x the base fare during peak hours.
- Minimum distance for base fare set at 3 km.
2. Cancellation Penalties for Drivers & Passengers
- Drivers cancelling rides face a 10% penalty (max ₹100), credited to the passenger’s wallet.
- Passengers cancelling without valid reason pay 5% (max ₹50), credited to the driver.
3. New Carpooling Guidelines
- Fares must not exceed regular rates and should cover fuel, tolls, and insurance.
- Max 14 carpool bookings per week allowed per user.
- Female passengers can opt for female-only drivers/co-passengers.
- Verified residential and journey details mandatory for all users.
4. Aggregator Requirements
- Must have a registered office in Maharashtra.
- Mandatory real-time GPS tracking, emergency contacts, and driver background checks.
- Drivers must undergo refresher training and have insurance coverage.
5. Driver Earnings & Grievance Redressal
- Drivers to receive minimum 80% of total fare.
- Complaint resolution system to address disputes swiftly.
6. Push for Electric Vehicles (EVs)
- Aggregators must gradually transition to EVs as per Maharashtra’s EV Policy.
A Move Towards Fairer & Safer Ride-Hailing
This policy, following Supreme Court directives (Feb 2023), is expected to bring more accountability, transparency, and rider-friendly practices in Maharashtra’s app-based transport sector.
