Karnataka Transport dept declines Uber application

10 Jun 2016 | Written by Vaishnavi ; Edited by Gaurav
Karnataka transport department and Uber: Standoff

Uber alleged that Karnataka's Transport department officials have not accepted its documents to support its claim for a licence to operate as app-based taxi aggregator in the state.

Uber has filed a complaint with the Karnataka Transport Comissioner on 7th June.

The Karnataka Road and Transport Department declined to accept Uber's application, citing the reason that their documents were not in order.

In context: Karnataka transport department and Uber: Standoff

Background Karnataka and Uber stand off- Background

'Karnataka On Demand Transportation Technology Aggregators Rules, 2016' came into effect on 9 Feb'16.

On 30th May, Karnataka directed taxi aggregators such as Uber and Ola to stop operations in the state until they secure a licence from the government, triggering sharp reactions from corporates.

Karnataka became the first state in the country to mandate a licence for app-based aggregators to operate cabs.

New RegulationsNew Regulations

In February, Karnataka published the draft policy titled 'Karnataka On Demand Transportation Technology Aggregators Rules, 2016.'

The new regulations required a firm to have a fleet of at least 100 cabs under its fold to be eligible to seek an aggregator license.

It requires that firms get a license before offering services and they comply with policies of fare capping and no-surge pricing .

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Drivers PetitionDrivers move a petition to HC

On 31st May, drivers filed a petition with Karnataka HC.

They contended that mandates like installation of digital fare meters capable of printing a receipt, illuminated boards with taxi signs are financial burdens.

They also contended that clauses mandating drivers to be residents of Karnataka for at least two years or have knowledge of Kannada have "no rational nexus with object of the Act".

Reactions from the department official

The Karnataka Transport Comissioner, while reacting to the issue said, "We need documents in accordance with the rules. The very idea behind the new regulations was to encourage appbased services."

10 Jun 2016Karnataka Transport dept declines Uber application

Uber's problem in other countries

Uber has had problems with authorities in several countries such as Mexico, Indonesia and Paris.Some other markets where Uber has seen a lot of resistance include the UK, Italy, Poland, Brazil, Belgium, Australia, Chile and South Africa to name a few.
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13 Jun 2016Uber can approach any RTO with docs: Karnataka

Karnataka's transport department has stated that Uber can approach any of the 10 RTOs in Bengaluru for verification of its documentation.

Transport Commissioner Rame Gowda said "There are 10 RTOs in the City, and Uber is free to visit whichever office it finds convenient, and submit its papers."

The statements come after Uber alleged that transport department officials had declined to accept its documents.