Govt to Launch ‘Sahkar’ Taxi Service to Benefit Cab Drivers
Union Home and Cooperation Minister Amit Shah announced on March 26 that the government will soon introduce the “Sahkar” taxi—a cooperative-run ride-hailing service modeled after Ola and Uber. This initiative aims to provide direct financial benefits to drivers instead of private businessmen.
Speaking in the Lok Sabha, Shah stated that this move aligns with Prime Minister Narendra Modi’s vision of “sahkar se samriddhi” (prosperity through cooperation). The new platform will cater to two-wheeler taxis, autorickshaws, and four-wheelers, offering an alternative to existing private cab aggregators.
A key highlight of the “Sahkar” taxi service is its cooperative model, which ensures that profits are distributed directly among the drivers rather than to corporate entities. The National Tourism and Transport Cooperative Federation under the central government announced a similar initiative in June 2022.
Cab Aggregators Under Scrutiny
The launch of the “Sahkar” taxi comes at a time when major ride-hailing platforms like Ola, Uber, and Rapido are facing criticism from both drivers and customers. Recently, cab drivers in Hyderabad initiated a “No AC” protest against low fares imposed by these platforms. The Telangana Gig and Platform Workers’ Union (TGPWU) has demanded a uniform fare structure that takes into account fuel prices, vehicle maintenance, and fair driver compensation.
Earlier this year, the Consumer Protection Authority (CCPA) issued notices to Ola and Uber following allegations of differential pricing based on users’ smartphone operating systems—Android or iOS. However, both companies have denied these allegations.
With “Sahkar” taxi, the government aims to introduce a fair and transparent ride-hailing service that prioritizes drivers’ welfare while offering competitive services to consumers. The official rollout is expected in the coming months.