India’s First Cooperative Cab Service Just Launched—Here’s Why It Matters

Image Source : NDTV

The Indian government has launched Bharat Taxi, the country’s first cooperative cab service, to challenge private giants Ola and Uber. Developed under the Ministry of Cooperation and NeGD, the initiative empowers drivers with full earnings ownership and promises cleaner, fairer, and more transparent ride-hailing experiences for commuters.

A New Ride Revolution: Bharat Taxi’s Cooperative Model Challenges the Status Quo

In a bold move to disrupt India’s ride-hailing landscape, the central government has introduced Bharat Taxi—a cooperative-based cab service designed to rival dominant players like Ola and Uber. Spearheaded by the Union Ministry of Cooperation and the National e-Governance Division (NeGD), Bharat Taxi aims to restore fairness and transparency to both drivers and passengers.

The pilot phase is set to launch in November 2025 in Delhi, starting with 650 vehicles operated by owner-drivers. Unlike traditional aggregators, Bharat Taxi will function under a cooperative model, eliminating commissions and giving drivers full control over their earnings. This initiative responds to growing dissatisfaction with private cab services, which have faced criticism for inflated fares, frequent cancellations, poor vehicle hygiene, and high commission cuts—often up to 25% of driver income.

Key Highlights

- Zero Commission Model: Drivers retain 100% of their fare revenue, eliminating the hefty commission fees charged by private platforms.

- Government-Backed Oversight: The service is supervised by the Ministry of Cooperation and NeGD, ensuring accountability and transparency.

- Pilot Launch in Delhi: The initial rollout includes 650 vehicles, with plans to expand based on performance and demand.

- Driver Empowerment: Drivers are stakeholders in the cooperative, fostering a sense of ownership, community, and shared responsibility.

- Passenger-Centric Focus: Bharat Taxi aims to address common complaints—such as surge pricing, cancellations, and vehicle cleanliness—by enforcing quality standards and fair pricing.

- Governance Structure: Sahakar Taxi Cooperative Limited will operate the service, supported by a newly formed council to oversee operations and policy.

This initiative marks a significant shift in India’s mobility ecosystem, offering a socially inclusive alternative to corporate ride-hailing platforms. If successful, Bharat Taxi could redefine urban transport by prioritizing dignity for drivers and reliability for passengers.

Sources: NDTV, Free Press Journal, India TV News