The Karnataka High Court on Friday refused to suspend its earlier order that mandates a complete halt to all bike taxi services across the state until the government frames specific regulations under the Motor Vehicles Act.
This ruling, effective from June 16, 2025, directly impacts popular app-based bike taxi platforms such as Rapido, Ola, and Uber Moto, compelling them to cease operations immediately.
The court’s division bench, led by Acting Chief Justice V Kameswar Rao and Justice Sreenivas Harish Kumar, has issued notices to the state government and other stakeholders, scheduling the next hearing for June 24 and demanding responses by June 20.
The ban has sparked widespread concern among gig workers, commuters, and industry players, while the government maintains its position prioritising safety and regulatory compliance.
Impact on Gig Workers and Commuters: A Livelihood and Mobility Crisis
The immediate enforcement of the ban has sent shockwaves through Karnataka’s gig economy, particularly in Bengaluru, where bike taxis had become a crucial source of income and a convenient commuting option. The Namma Bike Taxi Association, representing over 1,00,000 riders, appealed to Congress MP Rahul Gandhi, emphasising the profound economic hardship the ban inflicts on drivers, many of whom are students, daily wage earners, and sole family providers.
“Bike taxis are not just a side hustle; they are our primary means of survival,” stated the Association in a heartfelt letter. Rapido, the largest player in the market, revealed that 75% of its riders depend entirely on the platform for their monthly earnings averaging ₹35,000. In response to the ban, Rapido has pivoted to offering “bike parcel” services but remains hopeful for the resumption of bike taxis under a regulated framework. Commuters, meanwhile, are facing longer wait times, increased fares, and reduced last-mile connectivity options.
Transport Minister Ramalinga Reddy reiterated the government’s commitment to enforcing the ban, citing safety concerns and warning of strict penalties, including vehicle seizures and fines, for violators.
The Legal and Policy Backdrop: Navigating Regulation and Innovation
The ongoing dispute stems from the Karnataka Transport Department’s stance that bike taxi services operate illegally without a formal policy or rules under the Motor Vehicles Act. The High Court’s April 2, 2025, single judge order initially mandated the cessation of bike taxi operations within six weeks, extended to June 15, 2025.
Despite appeals from aggregators citing the economic and social benefits of bike taxis, the division bench upheld the ban, noting the state government’s clear decision not to frame rules permitting such services at this time.
The court emphasised that interim relief could only be granted if the government actively worked on regulatory measures, which it currently is not.
This legal impasse has left thousands of riders in limbo and commuters grappling with reduced transport options. The ban also ignited a social media campaign under the hashtag #KarnatakaWantsBikeTaxis, reflecting public frustration over the loss of affordable and flexible urban mobility solutions.
The Logical Indian’s Perspective
The Karnataka bike taxi ban highlights a critical crossroads in urban transport policy—where the need for safety and legal clarity must be balanced against the economic realities of gig workers and the mobility needs of citizens. While adherence to the law is essential, blanket prohibitions risk marginalising vulnerable communities who rely on these platforms for their livelihoods and affordable transport.
The Logical Indian believes that constructive dialogue between the government, industry stakeholders, and civil society is vital to crafting a regulatory framework that ensures safety without stifling innovation or economic opportunity. Policies should be rooted in empathy, coexistence, and sustainable urban development.
As Karnataka navigates this challenge, we invite our readers: How can the state design regulations that protect public interests while supporting the aspirations of gig workers and commuters?