Uber, Ola operating without requisite license in Bengaluru: Karnataka transport dept

Bengaluru: The Karnataka State Transport Department has stated that each of India’s main trip hailing corporations – Uber and Ola – are working within the metropolis of Bengaluru with out the requisite licenses, including that they’re awaiting the state authorities’s directives on additional motion.

Ola’s license to function as an app-based taxi aggregator within the metropolis expired in June, whereas Uber’s license expired earlier this month. Whereas each corporations have utilized for renewal of their licenses, officers of the state transport division instructed ET that they’ve completed so too late.

“The laws require an aggregator to use for renewal of license 60 days earlier than the expiry of license. However each operators haven’t complied with this,” stated L Hemantha Kumar, Extra Commissioner, Transport Division.

In line with the division, Ola utilized for renewal of its license solely after it issued the corporate a discover asking it to grab its operations within the metropolis and report compliance. Ola is known to have utilized for renewal of its license someday in October.

Uber then again is claimed to have utilized for renewal of its license to function in Bengaluru solely 4 days earlier than its expiry, state officers added.

“We have now written to the State Authorities to advise because the laws are issued by the state authorities, and there are additionally courtroom orders associated to the operation of cab aggregators. We are going to act as per the federal government’s instructions,” Kumar stated.

Karnataka was among the many first states in India to manage companies resembling Uber and Ola, introducing formal laws within the type of the Karnataka On demand Transportation Know-how Aggregator Guidelines, 2016.

Furthermore, the state’s capital metropolis Bengaluru, can also be among the many largest markets for app-based rides within the nation, making it an important marketplace for each corporations to have the ability to function with none restrictions.

“We have now filed our utility for renewal of license in December this 12 months and have acquired an acknowledgement for a similar from the division,” an Uber spokesperson instructed ET.

Ola didn’t reply to ET’s queries till the time of publishing this story.

This isn’t the primary run-in app-based taxi aggregators have had with the Karnataka state transport division. Each Uber and Ola had taken the state to courtroom when the laws had been launched, arguing that they had been merely suppliers of know-how and never transport operators.

The Karnataka Excessive Court docket had on the time dominated in favour of permitting the state to manage such entities, whereas placing down some clauses within the On demand Transportation Know-how Aggregator Guidelines that associated to information assortment by the state authorities.

Then in March 2019, the state transport authorities had issued a discover to Ola suspending its license within the state for six months after it was discovered to be working bike taxis within the metropolis, laws for which didn’t exist at the moment. Ola was allowed to renew operations within the metropolis inside two days, following the cost of a nice.

Earlier this 12 months Karnataka unveiled a brand new coverage for bike taxis, however restricted operators to make use of solely electrical two-wheelers.

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