App-based cab fares fixed at ₹23/km; unions demand aggregator policy, oppose bike taxis

Unions allege that despite a meeting on September 16 where Ola, Uber, and Rapido were directed to adopt these rates by September 18, no changes have been made. On Thursday, hundreds of cab and rickshaw drivers staged a protest at Azad Maidan demanding enforcement of the revised fares

MUMBAI: The state transport department on Thursday fixed fares for app-based cabs at ₹22.72 per kilometre, rounded off to ₹23 from ₹12/km, bringing them on par with Cool Cabs. Aggregator drivers’ unions, however, have demanded immediate implementation of the Maharashtra Aggregator Policy, 2025, and called for a ban on bike taxis, warning that the cheaper two-wheeler service will severely affect their earnings.

Mumbai, India - Sept. 18, 2025: Cab, rickshaw, and taxi drivers working with Ola, Uber, and Rapido hold a gathering at Azad Maidan, allege failure to implement government-approved fares, decision on future course of agitation to be taken, in Mumbai, India, on Thursday, September 18, 2025. (Photo by Anshuman Poyrekar/Hindustan Times) (Anshuman Poyrekar/HT Photo)

As per the new rules notified by the Mumbai Metropolitan Region Transport Authority (MMRTA), aggregators will be allowed to raise fares by up to 1.5 times during peak demand instead of charging ₹40–45 per km as before. During off-peak hours, they can offer discounts up to 25% but cannot slash rates to ₹6–8 per km. Drivers must receive 80% of the fare amount, with companies retaining the remaining 20%. The revised rates are to be implemented in apps from September 18 onwards.

Unions allege that despite a meeting on September 16 where Ola, Uber, and Rapido were directed to adopt these rates by September 18, no changes have been made. On Thursday, hundreds of cab and rickshaw drivers staged a protest at Azad Maidan demanding enforcement of the revised fares.

“Drivers currently earn just ₹8–12 per km, which drops further during peak hours. We want the government to ensure the 80% share for drivers and to ban bike taxis,” said Dr Keshav Kshirsagar, president of Bhartiya Gig Kamgar Manch.

Earlier this week, the transport authority also announced fares for e-bike taxis — ₹15 for the first 1.5 km and ₹10.27 for each additional km — making them significantly cheaper than autos and black-and-yellow cabs. The government has offered provisional licences to Ola, Uber, and Rapido to roll out the service, though unions argue it will undercut existing cab and taxi operators.

Union leaders have warned that if fares are not enforced and bike taxis not banned by September 30, drivers across Maharashtra will pledge to vote against the ruling Mahayuti alliance. At Thursday’s protest, drivers also raised slogans against transport minister Pratap Sarnaik, who recently bought a Tesla Model Y.

The Maharashtra Aggregator Policy, 2025, is in its finalisation stage and is expected to set out comprehensive rules on fares, commission sharing, and licensing for app-based operators.