{"id":352371,"date":"2025-07-04T13:00:44","date_gmt":"2025-07-04T07:30:44","guid":{"rendered":"https:\/\/www.scconline.com\/blog\/?p=352371"},"modified":"2025-07-04T13:11:11","modified_gmt":"2025-07-04T07:41:11","slug":"motor-vehicle-aggregators-guidelines-pricing-safety-morth-india-2025","status":"publish","type":"post","link":"https:\/\/www.scconline.com\/blog\/post\/2025\/07\/04\/motor-vehicle-aggregators-guidelines-pricing-safety-morth-india-2025\/","title":{"rendered":"Motor Vehicle Aggregators Guidelines 2025: Discover what\u2019s noteworthy!"},"content":{"rendered":"<div style=\"text-align: justify; line-height: 150%;\">\n<p style=\"margin-bottom: 3%;\">On 1-7-2025, the <span style=\"font-weight: bold;\">Ministry of Road Transport and Highways<\/span> announced the \u2018<span style=\"font-weight: bold;\">Motor Vehicle Aggregator Guidelines, 2025<\/span>\u2019 to regulate the provisions regarding the digital aggregators revising the farmwork for <span style=\"font-weight: bold;\">licensing, vehicle and driver compliance<\/span>, and promote <span style=\"font-weight: bold;\">electric mobility and inclusive transport<\/span>. These guidelines ensure passenger, driver safety, fare transparency, and sustainability. All State Governments are advised to adopt these revised guidelines before <span style=\"font-weight: bold;\">01-10-25<\/span>.<\/p>\n<h3>Key Points:<\/h3>\n<ol style=\"list-style-type: decimal;\">\n<li><span style=\"font-weight: bold;\">Section 88 of the Motor Vehicles Act, 1988<\/span> lays the foundation of the Motor Vehicle Aggregator Guidelines, empowering states to regulate aggregators through licensing and compliance norms.<\/li>\n<li>These guidelines are extended to all the aggregators in each State, excluding public travel service portals and interoperable networks that do not onboard drivers or vehicles.<\/li>\n<li>In this initiative, Centre will develop a \u2018<span style=\"font-weight: bold;\">Designated portal<\/span>\u2019 providing single-window clearance for aggregators licences. This portal will also handle <span style=\"font-weight: bold;\">application fees<\/span>, <span style=\"font-weight: bold;\">license fees<\/span>, and <span style=\"font-weight: bold;\">security deposits<\/span>.<\/li>\n<li>All the licence issued to these aggregators will be operated through these designated portals, deciding the applications <span style=\"font-weight: bold;\">within 90 days<\/span>. The Competent authorities are advised to issue the licenses after due application and payment of <span style=\"font-weight: bold;\">\u20b9<\/span> 500000, within 15 days, and reject those that do not meet the required criterions.<\/li>\n<li>These licenses will be valid up to <span style=\"font-weight: bold;\">5 years<\/span> which can be renewed after reviewing the performance history of the aggregator and after a due payment of <span style=\"font-weight: bold;\">\u20b9<\/span> 25000.<\/li>\n<li>Through this guideline Aggregators are obligated to provide:\n<ul style=\"list-style-type: disc;\">\n<li>40-hour induction training to all drivers.<\/li>\n<li>Comply with <span style=\"font-weight: bold;\">health and public safety guidelines<\/span> issued by Central\/State Governments.<\/li>\n<li>Offer <span style=\"font-weight: bold;\">passenger insurance of at least \u20b95,00,000 per trip.<\/span><\/li>\n<li>Allow <span style=\"font-weight: bold;\">drivers to work with multiple platforms<\/span> without exclusivity restrictions<\/li>\n<\/ul>\n<\/li>\n<li>Ministry has guided the aggregators to develop the features of the \u2018app\u2019 that is suitable for both <span style=\"font-weight: bold;\">drivers and passengers<\/span>, like promoting transparency through ratings, etc.<\/li>\n<li><span style=\"font-weight: bold;\">Grievance Officer<\/span> is to be appointed by Aggregators responsible for resolving complaints and reporting them to the <span style=\"font-weight: bold;\">Competent Authority<\/span> via an online system.<\/li>\n<li>Driver onboarding to meet the experience criteria under <span style=\"font-weight: bold;\">Section 7(1) of the Motor Vehicles Act<\/span> and ensure verification of:\n<ul style=\"list-style-type: disc;\">\n<li>Valid identity proof<\/li>\n<li>Valid driving licences<\/li>\n<li>Bank account<\/li>\n<li>Medically fit<\/li>\n<li>Passed a psychological assessment<\/li>\n<li>Not committed an offence under laws or convicted within 3 years<\/li>\n<\/ul>\n<\/li>\n<li>Guidelines also ensures that various benefits to the onboarded drivers which the aggregators are needed to provide-\n<ul style=\"list-style-type: disc;\">\n<li>Minimum coverage of <span style=\"font-weight: bold;\">\u20b9500000<\/span>, as per provisions of <span style=\"font-weight: bold;\">Social Security Code, 2020<\/span><\/li>\n<li>Mandatory Quarterly training for low-rated drivers<\/li>\n<li>A <span style=\"font-weight: bold;\">Complaint inquiry protocol<\/span>, to be completed within 3 days<\/li>\n<\/ul>\n<\/li>\n<li>Aggregators will ensure that <span style=\"font-weight: bold;\">all vehicles<\/span> operated by onboarded drivers possess a <span style=\"font-weight: bold;\">valid permit<\/span> under the <span style=\"font-weight: bold;\">Motor Vehicles Act, 1988<\/span> and applicable rules.<\/li>\n<li>Vehicles are to be equipped with Vehicle <span style=\"font-weight: bold;\">Location Tracking Device (VLTD)<\/span> compliant with <span style=\"font-weight: bold;\">AIS 140<\/span> standards.<\/li>\n<li>Child Lock mechanism is prohibited to be used to enhance <span style=\"font-weight: bold;\">passenger safety<\/span>, especially in aggregators contexts where misuse of child locks has raised concerns.<\/li>\n<li>The guidelines also stress the importance of app integrity and accessibility where Aggregator apps are needed to be multilingual and be certified by a cyber-security firm recognized by CERT-In, displaying fare breakdowns, allow live location sharing during journeys.<\/li>\n<li>Motor Vehicle Aggregators are also required to maintain compatibility for passengers with disabilities \u2018<span style=\"font-weight: bold;\">Divyangjan<\/span>\u2019. States are advised to determine appropriate quotas for <span style=\"font-weight: bold;\">Divyangjan<\/span>-friendly vehicles.<\/li>\n<li>Fare structures are regulated to include a base fare set by the state for a minimum of three kilometres to cover dead mileage which also them to charge fares within a dynamic range, no less than 50% and no more than twice the base fare. For aggregator-owned vehicles, the driver\u2019s share is decided at least 60%, remaining share for the aggregator.<\/li>\n<li>Cancellations fee is capped at \u20b9100, exercised by either the <span style=\"font-weight: bold;\">driver or the passenger<\/span>, provided the cancellation lacks a valid reason.<\/li>\n<li>In support of sustainability, the guidelines encourage State Governments to impose annual targets for the inclusion of electric, zero-emission, or alternate fuel vehicles in aggregator fleets.<\/li>\n<li>The Ministry has advised State Governments to exercise <span style=\"font-weight: bold;\">oversight powers<\/span>, which include requesting documentation, conducting inquiries, and verifying vehicle and driver data through portals such as <span style=\"font-weight: bold;\">VAHAN and SARTHI<\/span>.<\/li>\n<\/ol>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p style=\"font-style: italic;\">MoRTH unveiled new Aggregator rules raising ride fares while reinforcing driver and passenger safety through mandatory insurance, tech checks, and tougher compliance standards.<\/p>\n","protected":false},"author":67525,"featured_media":352379,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[4,15],"tags":[84712,84714,84709,84710,84713,84711,56830,33155,84707,68880,47883,84708,84715,25584,84716],"class_list":["post-352371","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-legislationupdates","category-rules_regulations","tag-aggregator-regulations","tag-app-based-services","tag-digital-transport","tag-driver-welfare","tag-fare-transparency","tag-insurance-mandate","tag-morth","tag-motor-vehicle-act","tag-motor-vehicle-aggregators-guideline","tag-passenger-safety","tag-public-safety","tag-ride-fares","tag-ride-hailing-platforms","tag-road-safety","tag-vehicle-tracking"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v27.4 (Yoast SEO v27.4) - 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The amendments in the Bill mainly focus on issues relating to improving road safety, citizens\u2019 facilitation while dealing with the transport department, strengthening rural transport, last mile connectivity and public transport, automation and computerization and enabling online\u2026","rel":"","context":"In &quot;Legislation Updates&quot;","block_context":{"text":"Legislation Updates","link":"https:\/\/www.scconline.com\/blog\/post\/category\/legislationupdates\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2017\/09\/Parliament_Colour.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2017\/09\/Parliament_Colour.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2017\/09\/Parliament_Colour.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2017\/09\/Parliament_Colour.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2017\/09\/Parliament_Colour.jpg?resize=1050%2C600&ssl=1 3x"},"classes":[]},{"id":217952,"url":"https:\/\/www.scconline.com\/blog\/post\/2019\/08\/12\/motor-vehicles-amendment-bill-2019-received-presidents-assent-on-9th-august-2019\/","url_meta":{"origin":352371,"position":2},"title":"Motor Vehicles (Amendment) Bill, 2019 received President&#8217;s assent on 9th August, 2019","author":"Bhumika Indulia","date":"August 12, 2019","format":false,"excerpt":"Parliament received President's assent for the Motor Vehicles (Amendment) Act, 2019 on 09-08-2019. Motor Vehicles (Amendment) Bill, 2019 had been passed by both the Houses of Parliament and was waiting for the President's assent. Motor Vehicles (Amendment) Act, 2019 will amend the Motor Vehicles Act, 1988. Some of the important\u2026","rel":"","context":"In &quot;Legislation Updates&quot;","block_context":{"text":"Legislation Updates","link":"https:\/\/www.scconline.com\/blog\/post\/category\/legislationupdates\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":263336,"url":"https:\/\/www.scconline.com\/blog\/post\/2022\/03\/09\/to-operate-in-state-of-maharashtra-uber-and-other-unlicensed-aggregators-to-apply-for-license-before-16th-march-2022\/","url_meta":{"origin":352371,"position":3},"title":"To operate in State of Maharashtra, Uber and other unlicensed aggregators to apply for license before 16th March 2022: Bom HC","author":"Bhumika Indulia","date":"March 9, 2022","format":false,"excerpt":"Bombay High Court: The Division Bench of Dipankar Datta, CJ and Vinay Joshi, J., directed UBER and other transport aggregators who have not obtained a license as per Section 93(1) of the Motor Vehicles Act to apply for the license before 16th March 2022 otherwise they shall not be able\u2026","rel":"","context":"In &quot;Case Briefs&quot;","block_context":{"text":"Case Briefs","link":"https:\/\/www.scconline.com\/blog\/post\/category\/casebriefs\/"},"img":{"alt_text":"Bombay High Court","src":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2022\/02\/Bombay-HC.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2022\/02\/Bombay-HC.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2022\/02\/Bombay-HC.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2022\/02\/Bombay-HC.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2022\/02\/Bombay-HC.jpg?resize=1050%2C600&ssl=1 3x"},"classes":[]},{"id":288090,"url":"https:\/\/www.scconline.com\/blog\/post\/2023\/04\/01\/ban-on-the-operation-of-bike-taxi-is-bad-in-law-an-analysis-of-the-maharashtra-governments-decision\/","url_meta":{"origin":352371,"position":4},"title":"Ban on the Operation of Bike Taxi is Bad in Law \u2014 An Analysis of the Maharashtra Government\u2019s Decision","author":"Editor","date":"April 1, 2023","format":false,"excerpt":"by Kumar Aditya\u2020 and Subham Dubey\u2021","rel":"","context":"In &quot;Op Eds&quot;","block_context":{"text":"Op Eds","link":"https:\/\/www.scconline.com\/blog\/post\/category\/op-ed\/legal-analysis\/"},"img":{"alt_text":"Operation of Bike Taxi is Bad in Law","src":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2023\/04\/MicrosoftTeams-image-131.png?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2023\/04\/MicrosoftTeams-image-131.png?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2023\/04\/MicrosoftTeams-image-131.png?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2023\/04\/MicrosoftTeams-image-131.png?resize=700%2C400&ssl=1 2x"},"classes":[]},{"id":59851,"url":"https:\/\/www.scconline.com\/blog\/post\/2016\/08\/04\/cabinet-approves-motor-vehicle-amendment-bill-2016\/","url_meta":{"origin":352371,"position":5},"title":"Cabinet approves Motor Vehicle (Amendment) Bill, 2016","author":"Sucheta","date":"August 4, 2016","format":false,"excerpt":"The Motor Vehicle (Amendment) Bill 2016 has been approved by\u00a0Union Cabinet .\u00a0On the basis of recommendations of the GoM and other pressing requirements, MoRTH introduced the Motor Vehicle (Amendment) Bill 2016. 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