Government Begins Testing ‘Bharat Taxi’ App to Curb Surge Pricing; Drivers to Earn More Under Cooperative Model

New Delhi: Relief may soon be on the way for commuters troubled by skyrocketing cab fares on Ola, Uber and Rapido. The Government of India has begun testing the ‘Bharat Taxi’ app, a new platform designed to check arbitrary surge pricing and boost driver earnings.
Union Transport Minister Nitin Gadkari informed Parliament on Thursday that the government is planning to impose limits on cab fares during peak office hours. Alongside this, trials for the Bharat Taxi app have already started.

A Cooperative Model to Increase Driver Income

According to a report by Financial Express, Gadkari said the testing and trial phase of Bharat Taxi is now underway. Addressing Lok Sabha members on 11 December 2025, he explained that the app has been developed to enhance driver earnings through a driver-owned cooperative model, rather than the traditional corporate aggregator system.

The service will operate under the banner of Sahkar Taxi Cooperative Limited (STCL).
In this model, drivers themselves—not private companies—will own the platform.
This ensures that a significant share of revenue, which currently goes to aggregator companies, will instead reach the drivers directly.

Government Issues New Cab Aggregator Guidelines for Fare Control

To regulate app-based cab services across the country, the government has also released the Motor Vehicle Aggregator Guidelines 2025.
These guidelines focus on passenger safety as well as fare regulation, ensuring that companies cannot impose unreasonable surge pricing, especially during peak hours.

What Is the ‘Bharat Taxi’ App?

Bharat Taxi is a national-level cab service platform being developed under the new Motor Aggregator Policy. The app will be launched soon and implemented across all states.
It is expected to offer major relief to commuters who routinely face inflated fares during office hours on private apps like Ola, Uber and Rapido.

At the same time, the cooperative structure of Bharat Taxi ensures that drivers receive a larger share of the earnings—making the system fairer, transparent and more sustainable for both riders and drivers.