Panel suggests Transport dept not get into app-based taxi biz

In a bid to further introduce and control the app-based taxi service market, the Maharashtra Transport department is eager to launch a mobile app for cabs which would be under their control.

This is also why the Aamchi Drive App, launched by black-and-yellow taxi unions, was given a quick approval. However, the BC Khatua Committee has suggested the department not to get involved and leave provision of such services to private companies.

Sources in the Transport department said that the report has also asked the taxi unions to refrain from getting mobile apps — such as Ola and Uber — as these are capital intensive.

The report has now put the government in a fix as they intended to start and control their own app so as to bring more clarity into the system rather than private operators running the show.

"We had plans of having our own app that would control the fares and security of passengers. Until the BC Khatua Committee recommendations, there were no rules for cab aggregators to abide by. We will now have to decide on further course of action," said a Transport department official on condition of anonymity.