UP Rolls Out Strict Rules for App-Based Services
By Business Desk
Uttar Pradesh introduces draft rules for app-based ride-hailing & delivery services, focusing on safety, transparency, driver welfare, and EV promotion.
The Uttar Pradesh Transport Department has introduced new draft rules to formally regulate app-based ride-hailing platforms and delivery service providers across the state.
New Regulatory Framework for Aggregators
The proposed Uttar Pradesh Motor Vehicle (Aggregator and Delivery Service Provider) Rules, 2026, aim to enhance safety, transparency, and driver welfare for services like Ola and Uber. These regulations also address pollution control, electric vehicle promotion, and grievance redressal.
- Prioritize passenger safety and driver welfare.
- Control pollution and promote electric vehicles.
- Ensure transparent fares and a time-bound grievance redressal system.
Mandatory Licensing and Financial Requirements
All aggregators, delivery service providers, and e-commerce transport services operating in Uttar Pradesh must secure a license. This involves an online application process through a dedicated portal, upmyfleet.com.
- Application fee: ₹25,000.
- License fee: ₹5 lakh.
- Security deposit: Ranging from ₹10 lakh to ₹50 lakh, based on vehicle count.
- License validity: five years.
Rules on Ride Cancellations
The draft rules also introduce specific penalties for ride cancellations by both drivers and passengers. This aims to bring greater accountability to the booking process.
- Passenger cancellation: 10 percent of the fare, or a maximum of ₹100, will be recovered in the next booking.
- Concessions will be offered for passenger cancellations under certain conditions.
The department has opened the draft rules for public objections and suggestions for a period of 30 days. This period allows stakeholders to provide input before the framework is finalized, shaping the future of app-based services in Uttar Pradesh.