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Friday, December 5, 2025

No More Wild Rides: Maharashtra’s Crackdown on Ola & Uber Includes ₹100 Penalty for Cancellations and 1.5x Surge Cap

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The Maharashtra government has finally drawn a line in the sand for app-based cab operators. In a major move, the state Cabinet has greenlit the Aggregator Cabs Policy 2025 — a bold, much-needed attempt to bring structure, safety, and fairness to the fast-moving world of ride-hailing services like Ola, Uber, and Rapido.

This isn’t just another bureaucratic update. The policy comes in the wake of growing public frustration and a nudge from the Supreme Court, both of which made it clear: the wild west era of cab apps in Maharashtra had to end.

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Why the Clampdown?

Let’s face it — ride apps have made getting around cities a lot easier. But they’ve also created new headaches. Think unpredictable fares, drivers cancelling without reason, and serious safety gaps, especially for women. For years, these platforms have operated with minimal oversight, often leaving riders and drivers at the mercy of algorithms and vague policies.

Now, Maharashtra wants to change that.

What’s Changing Under the New Rules

Starting 2025, any cab aggregator operating in the state will need a proper license. That’s just the beginning. They’ll also be required to meet strict conditions, including:

  • GPS-enabled tracking on every trip
  • In-app emergency buttons that actually work
  • Police verification for all drivers
  • Cybersecurity standards to protect user data
  • A clear process for dealing with complaints

Basically, the state is asking ride apps to grow up — and take responsibility.

What Riders Can Expect

For passengers, these changes could be game-changing. No more guessing games about driver identity or surge pricing going through the roof. From now on, surge fares can’t go above 1.5x the base rate, and discounts during slower hours can go up to 25%.

And if a driver bails on your ride or refuses to go a short distance? They’ll be fined — and you’ll get that money (up to ₹100 or 10% of the fare) back into your account automatically.

On the flip side, if you cancel the ride, half the fare (capped at ₹50) goes to the driver, giving both parties more respect and accountability.

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A Long Time Coming

While other states continue to tiptoe around regulating ride apps, Maharashtra’s decision is a big step toward fairness — for both commuters and gig workers. The Aggregator Cabs Policy 2025 is a wake-up call for the industry: adapt, play fair, or don’t operate.

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