The Karnataka government has decided to withdraw the electric bike taxi scheme due to problems with how the bikes are being used and concerns about safety, especially for women. It was found that regular e-bikes meant for personal use were being used to carry passengers, causing issues with auto and cab drivers. A report from a committee also said that the e-bike taxi scheme, which started in July 2021, did not gain much interest over the past three years.
Rapido, a bike taxi service, stated that the government's notification does not affect its operations since it does not use e-bikes. Ola had plans to offer electric two-wheeler rides, but the government's decision might disrupt its goal to have half a billion e-bike taxi rides by the end of 2024.
Uber also aimed to expand its e-bike taxi offering in Karnataka. The state's Transport Department has been working to regulate fares and make rides more affordable for the people.
The Karnataka Transport Department is taking action against app-based cab companies to set standard prices and make rides more affordable for people in the state.