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NITI Aayog’s Proposal For Private Vehicles As Taxis Finds Opposition From Transport Ministry
Ola and Uber Cabs in Delhi (Sushil Kumar/Hindustan Times via Getty Images)
The proposal made by the central government’s think tank NITI Aayog to allow ridesharing firms such as Ola and Uber to rope in private vehicles as cabs has not found favour with the Ministry of Road Transport and Highways, reports the Economic Times.
The Ministry has stated that there are no provisions in the Motor Vehicles Act which would allow private vehicles to ply as taxis.
Vehicles for commercial use attract higher costs in terms of permits, licences and insurance premiums. With 20 cars for every 1,000 people in India, the proposal was made to enable private vehicles – that lie under-utilised most of the time – to be used as taxis so that more vehicles can meet the demand during peak hours.
Also Read: Modi Govt Comes Out With A Very Liberal Taxi Policy Framework. Here’s What You Need To Know
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