Karnataka High Court Greenlights Bike Taxi Operations Across State
In a significant development for urban mobility, the Karnataka High Court has officially permitted the operation of bike taxis throughout the state. This landmark decision came on Friday from a division bench led by Chief Justice Vibhu Bakhru and Justice CM Joshi, effectively overturning a previous ruling that had restricted such services.
Court Directs State Government to Process Applications
The division bench set aside the order issued by a single bench in April last year, which had created uncertainty for bike taxi operators. The court has now issued clear directives to the state government, instructing authorities to consider applications for registering motorcycles as transport vehicles and to grant necessary permits for their operation as contract carriages.
"We direct the state government to consider such applications for registration as transport vehicles and to grant permits to operate as contract carriages," the bench stated in its order. This clarification provides much-needed regulatory certainty for both vehicle owners and aggregator platforms seeking to operate bike taxi services in Karnataka.
Legal Framework and Regulatory Considerations
While the court has permitted bike taxi operations, it has also outlined specific parameters for regulation. The bench emphasized that concerned authorities retain the right to examine relevant aspects of vehicle registration and permit issuance. However, they cannot deny applications solely on the grounds that motorcycles cannot operate as transport vehicles or contract carriages.
The regional transport authority has been empowered to impose necessary conditions on permits in accordance with existing laws. The court specifically referenced Section 74(2) of the Motor Vehicles Act, directing authorities to consider pending applications from aggregators and pass appropriate orders accordingly.
Background of the Legal Challenge
The case reached the division bench after several major aggregator companies challenged the single bench's order from April 2, 2025. The petitioners included Uber India Systems, ANI Technologies Private Limited (which operates Ola), and Roppen Transportation Services Pvt Ltd, among others.
The original single bench order had disposed of their petitions by referring to a 2019 expert committee report that examined the impact of bike taxis on traffic and safety. That order stated: "Unless the state government notifies relevant guidelines under Section 93 of the Motor Vehicles Act and the Rules framed thereunder, the petitioners cannot operate bike taxi services, and no directions can be issued to the state government to consider their applications seeking the grant of aggregator permits/licences."
State Government's Position and Future Applications
During proceedings, the state government argued that existing policies covering gig workers adequately addressed bike taxi operations and that no separate policy was necessary. However, the division bench's ruling has now created a clear pathway for both pending and new applications.
Chief Justice Bakhru further observed orally while reading the order that aggregators are free to file fresh applications. In such cases, these applications must be considered in accordance with the law and the observations made by the court in this judgment.
This decision represents a significant step forward for last-mile connectivity solutions in Karnataka's urban centers, particularly in Bengaluru where traffic congestion remains a persistent challenge. The ruling balances regulatory oversight with the need for innovative transportation solutions that can ease urban mobility pressures.
