Karnataka Bike Taxi Ban to Take Effect

Bengaluru: As the clock strikes midnight on June 15, Karnataka’s bustling bike taxi services, a lifeline for millions in traffic-choked Bengaluru, will grind to a halt. The Karnataka High Court’s refusal on Friday to stay an order banning operations from June 16 has sealed the fate of aggregators like Rapido, Ola, and Uber, marking a contentious end to a decade-long run in urban mobility. This decision, rooted in the state government’s failure to frame a legal framework, has ignited a firestorm of criticism, with fears of job losses, worsening traffic, and a blow to the gig economy.

Bike taxis first emerged in Karnataka around 2015, with Rapido capitalising on Bengaluru’s notorious congestion to offer affordable, nimble last-mile connectivity. Ola and Uber soon followed, tapping into a demand that public transport struggled to meet. By 2021, the BJP-led government launched an ambitious Electric Bike Taxi Scheme, positioning Karnataka as a pioneer in green mobility and job creation. Yet, the initiative faced immediate backlash from auto-rickshaw and taxi unions, who saw the cheaper fares as a threat to their livelihoods.

The scheme’s withdrawal in March 2024, citing safety concerns and misuse of non-transport bikes, underscored the political clout of these unions. A 2022 interim High Court order had briefly allowed operations to continue, but the April 2, 2025, ruling by Justice B M Shyam Prasad demanded a regulatory framework within three months, which is a deadline the Congress-led government ignored. The court’s latest refusal to extend relief, reported by legal analysts, reflects this inaction, leaving operators with no recourse.

The ban’s immediate impact will be felt by over 600,000 riders and commuters, according to Rapido’s estimates presented to the court. Social media has amplified the outcry. Former Infosys CFO T V Mohandas Pai took to social media platform X, urging Chief Minister Siddaramaiah and Deputy Chief Minister D K Shivakumar to reconsider, calling the ban “anti-citizen.”

“Please allow Bike taxis in Bengaluru. They are providing huge jobs, and very useful service for citizens. Our Metro is way behind schedule, bus service inadequate, we cannot have more using personal vehicles. Bike taxis reduce vehicles. Why is our govt hurting citizens like this? This is Anti Citizen”, he said.

Bengaluru, often dubbed the “Silicon Valley of India,” grapples with some of the world’s worst traffic. Bike taxis, with a Passenger Car Unit (PCU) of 0.38 for two passengers, offered a leaner alternative to cars (PCU 1.0). Their removal, critics argue, will clog roads further, forcing commuters into costlier autos or private vehicles.

The state government defends the ban, citing safety risks and the lack of a legal framework under the Motor Vehicles Act, 1988. Yet, no concrete data supports these claims, and the 2019 Bangalore Metro Rail Corporation Limited (BMRCL) report, which opposed bike taxis, focused on congestion without addressing operational safety.

The ban’s roots lie in a decades-old rivalry between traditional transport unions and modern aggregators. Auto unions, celebrating the court’s decision, have long pressured the government which is a dynamic that led to the 2024 scrapping of the electric bike policy. This contrasts with a January 2024 Union Ministry of Road Transport and Highways advisory encouraging states to legalise bike taxis; a trend Karnataka has bucked.

Globally, cities like Jakarta thrive with regulated two-wheeler taxis, supporting 1.5 million drivers. In India, Maharashtra and Delhi are drafting frameworks, making Karnataka’s stance an outlier.

From June 16, enforcement will begin, with Transport Commissioner A M Yogesh confirming compliance with the court order last month. Riders may pivot to informal services, raising safety concerns without oversight. The ball is now in the government’s court to draft regulations, but with the three-month deadline lapsed, optimism is low.