After Karnataka Bike Taxi Ban, Bengaluru Faces Rising Auto Fares; MP Seeks Govt Intervention

With bike taxi services now off the roads in Karnataka, Bengaluru Central MP PC Mohan has appealed to state authorities to strictly implement the Rs 35 minimum fare cap for app-based autorickshaws.

In a letter to Transport Minister Ramalinga Reddy, the MP cited rising fares and alleged non-compliance by aggregators following a recent court-enforced ban on bike taxis, reported Moneycontrol.

“Following the Karnataka HC’s directive to end bike taxi services by June 15, 2025, Bengaluru commuters have faced fare hikes of up to 25 per cent for autos,” Mohan said, adding that app-based auto rides have become significantly more expensive since the bike taxi ban came into effect.

HC Order Spurs Crackdown on Aggregators

The Karnataka High Court earlier directed ride-hailing platforms to halt bike taxi operations until the state government lays down a regulatory framework. The ban officially took effect on June 16 after the court declined to stay the order. The move, aimed at addressing legal and safety concerns around bike taxis, has unintentionally strained auto rickshaw commuters who are now grappling with inflated fares.

Back in October 2022, the state’s transport department acted on complaints that minimum auto fares on aggregator apps were often exceeding Rs 100. The department issued notices to aggregators, directing them to cease operations and apply for dedicated three-wheeler licences.

The matter reached the Karnataka High Court, which in response imposed a fare ceiling which was 10 per cent above the base rate fixed by the government, plus 5 per cent GST. This set the minimum permissible fare at Rs 35.

“In May 2024, the high court upheld the transport department’s November 2022 fare cap — Rs 30 base fare + 5 per cent service charge + 5 per cent GST. Fares must not exceed this,” Mohan stated.

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MP Flags Arbitrary Charges and Urges Enforcement

Despite the court’s order, the MP said commuters continue to be charged over and above the permissible fare due to additional fees levied by aggregators. “Bengalureans have noticed a 25 per cent hike in auto fares on ride-hailing apps in recent days,” he said, alleging that charges such as surge pricing, pick-up fees, and optional tips have been adding to the burden.

Calling for immediate regulatory action, Mohan said, “I urge the transport minister to direct the transport department to issue notices to all aggregators and ensure the fare notification is fully enforced. Enforcing regulations is a core government duty, and the transport department must uphold its responsibilities diligently.”

As the state adapts to the absence of bike taxis, pressure is mounting on the government to protect commuters from fare exploitation and ensure aggregator compliance with existing pricing norms.

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