Bharat Taxi Launched by Amit Shah to Provide No-Commission Platform for Drivers

Bharat Taxi, India's first ride-hailing platform supported by the government, was inaugurated by Union minister Amit Shah. The platform is based on the idea of shared ownership. At the 5 February launch ceremony in Delhi NCR, Shah stated that the platform's primary objective is to provide cab drivers more agency. Shah also mentioned that the drivers will not be paid a commission.

Drivers will receive the full amount of the fare displayed on the application. Shah also stated that this inauguration serves to further the endeavour of providing welfare to the "Sarthis" (drivers) community. Within three years, this cab service will cover the entire country, stretching from Kashmir to Kanyakumari and Dwarka to Kamakhya.

Bharat Taxi to Free Country from Private Players

This new software, according to Shah's announcement a month ago, will strive to wean the country's cab drivers off of private enterprises. Drivers would be able to retain all of their profits from each ride thanks to the new service, he added. Sahkar Taxi Cooperative Limited would run Bharat Taxi as a cooperative, with drivers acting as co-owners.

In order to take part, drivers need to purchase a minimum of 5 shares, totalling INR 500. They will then be eligible for stakeholder benefits such as dividends, health insurance, and pensions. The model is compatible with all types of taxis, including those with two, three, or four wheels. After a three-year growth plan, Bharat Taxi would distribute the remaining profit to the drivers according to their per-kilometre average, with a fixed amount going to the company. Rival ride-hailing platforms supported by the government will be Uber, Ola, and Rapido, to name a few. A special section of the Bharat Taxi app, dubbed "Sarthi Didi", would allow female riders to request rides from female drivers only.

Bharat Taxi’s Future Expansion Plan

In November, the ride-hailing service was piloted by the Centre. More than 37,000 driver registrations have been added to Bharat Taxi as of November-end, and the company is believed to have shown good early momentum. According to previous reports, the government aims to launch Bharat Taxi in a few major cities by March 2026 and recruit one million drivers by 2030.

An impending split between drivers and rideshare companies is the backdrop to this. On February 7, cab drivers will demonstrate against ride-hailing services such as Ola, Uber, Rapido, and Porter. Alleged irregular wages and regulatory enforcement breaches are the grounds for the drivers' protest. Commuters have been disrupted by multiple strikes of this kind around the country in the last year. In the midst of these demonstrations, ridesharing companies like Ola and Uber also changed their business models to not charge drivers any compensation. In order to keep working for the platform, these companies now demand that drivers pay a specific fee for a membership or driver pass.