High Court in Bombay declines to address complaint concerning Rapido bike-taxis
Maharashtra Legalizes Electric Bike-Taxis: A New Era for Green and Modern Transport
In a significant move towards modernizing transportation, the Maharashtra government has officially legalized electric bike-taxi services, paving the way for companies like Rapido to operate under the Maharashtra Bike-Taxi Rules, 2025.
The rules, which came into effect on July 4, 2025, prohibit the use of petrol bikes and mandate a series of strict regulations for electric two-wheelers offering taxi services. These regulations aim to ensure safety, efficiency, and environmental friendliness.
Key regulations include the requirement for aggregators to register with the state transport department and maintain a minimum fleet of 50 electric bikes registered in Maharashtra. They must also pay a licensing fee of ₹1 lakh and a security deposit of ₹5 lakh, with licenses valid for five years.
Bike taxis must be painted yellow and display “Bike Taxi” with reflective text. Riders must provide yellow helmets to passengers, sanitizing them after every trip. Only drivers aged 20 to 50, holding a commercial license and PSV badge, with police verification and periodic fitness checks, can operate. Street-hailing is prohibited; all rides must be booked app-based.
Safety features like GPS tracking, panic buttons, female driver preference, and 24/7 support rooms are mandatory. Drivers’ daily working hours are capped at eight hours, and rides are limited to 15 km per trip.
However, the formal legalization of electric bike-taxis has raised concerns about the impact on traditional auto-rickshaw drivers' livelihoods, particularly in cities like Thane. The rapid growth of bike-taxis, offering faster, app-based, and last-mile connectivity solutions, may lead to a reduction in demand for traditional auto-rickshaw services, especially for short-distance urban commutes.
While explicit government statements regarding this impact are not included in the search results, local bodies, including RTOs, retain power to regulate fares, fleet sizes, and routes, which could help balance competition and protect existing livelihoods.
The Bombay High Court, in a recent hearing, declined to entertain a petition filed by four auto rickshaw drivers from Thane, alleging that the presence of bike taxis affects their livelihood. The Court did not find a violation of the petitioners' fundamental rights under Articles 14, 19(1)(g), and 21 of the Constitution.
The case revolved around bike taxis operated by aggregators like Rapido plying in Thane with non-transport number plates. When they booked rides through the Rapido application, the bikes that showed up had white number plates, indicating private, non-transport vehicles.
The Court observed that the petitioners' fundamental right to livelihood was not violated by the presence of bike taxis. However, the Court granted the petitioners the liberty to approach the State with any representation against illegal bike-taxi operations.
In conclusion, Maharashtra’s new bike taxi regulations provide a clear legal framework promoting green transport and modern app-based services, while also instituting strict safety and operational conditions. This modern framework is likely to disrupt the transport ecosystem, affecting traditional auto-rickshaw drivers in cities like Thane by introducing alternative means of affordable and efficient urban transport.
References: 1. Times of India 2. The Hindu 3. LiveMint 4. Bombay High Court Judgement
In this new era of green and modern transportation, the finance sector may play a significant role in funding the development and expansion of electric bike-taxi services in Maharashtra, following the legalization announced in July 2025.
The industrial sector, particularly the manufacturing sector, could also benefit from the increasing demand for electric two-wheelers, as companies race to comply with the Maharashtra Bike-Taxi Rules, 2025, which mandate the use of electric bikes for taxi services in the region.
