India to soon issue advisory on app-based taxi services

The decision to ban app-based taxi hailing services like Ola and Uber rest with the state governments and the centre will soon issue an advisory for regulating such services, an official said today.

At present, state governments are empowered to prescribe conditions for the grant of license for public service vehicles, under Section 93 of the Motor Vehicles Act.

"We are working on that (advisory), it will be completed in the next three weeks which will be circulated to the states," a senior Road Ministry official said.

An advisory will be issued to the states on the mobile app-based taxi hailing services, the official added.

Asked if the centre is planning to ban such services, the official said, "The decision to ban or not to ban lies with the states."

In December, the Delhi government had banned all unregistered web-based taxi companies after a driver of Uber was accused of rape. The companies have applied for licences under the radio taxi norms, and continue to ply.

The advisory may be issued as an interim measure till the new Road Transport and Safety Bill is finalised.

The proposed bill is likely to be brought before the Cabinet in the next 10 days after which it will be tabled in the Parliament.

The new bill will be in sync with practices in six advanced nations - the US, Canada, Singapore, Japan, Germany and the UK.