Many years after the entry of motor vehicle aggregators like Ola & Uber, the central government has finally issued guidelines to regulate the aggregators. These come after years of policy vacuum. The guidelines address many issues including driver welfare, passenger safety, fare conditions etc. Here is everything you need to know. In 2019, the Ministry of Road Transport and Highways (MoRTH) enacted the Motor Vehicle (Amendment) Act which provides for hefty fines and stringent measures to reduce road accidents and also boost road safety. The amendments also define ‘aggregator’. In these amendments, an ‘aggregator’ is defined a digital intermediary or marketplace for a rider to connect with a driver for the purpose of transportation. Ola Cabs, Meru and Uber are some of the popular cab aggregators in India. Section 36 of the Act states that State Governments must follow guidelines issued by the Central Government for issuing license to aggregators. These aggregator guidelines were released by MoRTH on 27 November 2020. This the first time that the Indian Government has come up with guidelines to regulate cab aggregators in the country. According to MoRTH’s press release, the objective of the guidelines is to establish a regulatory framework for aggregators by State Governments to ensure that the aggregators are accountable and responsible for the operations executed by them. Further, ease of doing business, customer safety, and driver welfare have also been covered under the guidelines. The government states that these rules are aimed at reducing traffic congestion and pollution by providing for shared mobility services like carpooling. The guidelines are applicable to all motor vehicles (four wheelers with minimum engine capacity of 25cc) and e-rikshaws which have been integrated with the aggregator. However, vehicles which have been developed for use in factories or for special use are not included. State government to issue license to aggregators which is valid for five years Any person can apply for aggregator’s license by submitting the prescribed form and proof of payment of fee and security deposit. The prescribed form (Form-I) asks for details of the company (or co-operative society/association/ Limited Liability Partnership) such as contact details, registered office details, details of vehicles to be operated, GPS/GPRS facility, etc. The fee for aggregator includes Rs. 5 Lakhs for grant of license, and Rs. 2,500 for renewal, duplicate, or making changes to the license. The security deposit ranges from Rs. 1 Lakh (for up to 100 buses and 1,000 motor vehicles) to Rs. 5 Lakh (for operating more than 1,000 buses and 10,000 motor vehicles. The license issued by the State Government has a validity of 5 years. Induction training programmes and testing driving ability are necessary for granting license Applicants for the aggregator license must arrange for testing the drivers’ driving ability and also conduct an ‘Induction Training Programme’ in which the drivers must be trained to use the aggregator application, be appraised of the provisions and rules of MV Act, road safety and first responder training, careful and fuel efficient driving, vehicle maintenance, health and hygiene, familiarization with routes, gender sensitization and women safety, and terms and conditions of the contract. Before integrating drivers, aggregators must keep copies of drivers’ valid ID proof, valid driving license, and a KYC compliant bank account details or Jan Dhan account details. They must have a minimum experience of two years or else undertake a driver training. Aggregators should also ensure that the drivers have not been convicted of cognizable offence against them in the last three years. Complete medical check-up and police verification of their identity must also be done. What about Driver Welfare? As far as driver welfare is concerned, the guidelines mandate that each driver must be given a health insurance of minimum Rs. 5 Lakhs and a term insurance of Rs. 10 Lakhs with 2020-21 as the base year and with an increase of 5% each year. Annual Refresher Training Programs must also be conducted. Each driver should not be logged in for a total of 12 hours in a calendar day including all aggregators apps they have integrated with. A break of 10 hours is mandatory if they are logged in for 12 hours. Aggregators should have an option for riders to rate the driver’s etiquette, and vice-versa. In case, the driver has ratings below 2 percentiles, then they should undergo a mandatory ‘Remedial Training Programme’.