India's new ride-hailing era: What is Bharat Taxi and how does it work in India?

# News Desk
Yellow taxi near HSBC, Kolkata
Yellow taxi near HSBC, Kolkata

New Delhi: Commuters will soon benefit from predictable and affordable taxi fares with the launch of Bharat Taxi, a government-backed cooperative initiative. The service, developed under the Union Ministry of Cooperation and the National e-Governance Division (NeGD), allows drivers to become co-owners and shareholders, eliminating commissions and surge pricing while prioritising both driver welfare and passenger affordability, according to various media reports.

The pilot phase is set to begin in Delhi in November 2025, with around 650 driver-owners, known as Saarthis (charioteers), expected to participate. The service plans to expand to other cities across India by December.

Key Features

  • Driver-Owned Cabs: Drivers can buy shares and become members of the cooperative, giving them a greater voice and more transparency in operations.
  • No Commission: Drivers retain 100% of their earnings, unlike private platforms that deduct significant fares.
  • Transparent Pricing: Passengers will enjoy fair, predictable fares with no surge pricing.
  • Digital Integration: The service integrates with platforms like DigiLocker and UMANG for seamless digital operations.

Bharat Taxi comes in response to widespread complaints about private app-based taxi services, which have faced criticism over high fares, surge pricing, vehicle conditions, rude drivers, and last-minute cancellations. Drivers, too, have struggled with opaque commission structures and limited control over earnings.

According to the Press Information Bureau (PIB), Bharat Taxi aligns with the government’s vision of promoting cooperative enterprises under the “Sahakar se Samriddhi” initiative. By empowering drivers and ensuring equitable profit distribution, the service aims to transform India’s cab-hailing industry while keeping daily travel affordable for commuters.

All eyes will now be on Delhi to see how this government-backed model performs on the city’s roads.