Maharashtra Proposes EV Mandate and 2% Levy for Delivery Platforms
Maharashtra, India: The transport department has proposed amendments requiring delivery services like Swiggy, Zomato, and Zepto to transition to electric vehicles and contribute 2% to a driver welfare fund.
Maharashtra, India – The transport department of Maharashtra has proposed amendments to its bike-taxi rules that would bring delivery service providers such as Swiggy, Zomato, Blinkit, and Zepto under state transport regulations for the first time. The draft rules mandate an electric vehicle (EV) fleet and a 2% levy on fares for a driver welfare fund.
The proposed changes define "delivery service providers" as entities operating vehicle fleets for deliveries. Covered platforms would be required to operate EV-only fleets, enable GPS tracking for drivers and vehicles, provide insurance, adhere to fares set by the Regional Transport Authority (RTA), and obtain a unique license. The 2% contribution is earmarked for driver welfare, covering pensions, accident insurance, EV loans, and children's education.
This move aims to enhance oversight and accountability for these platforms, which have largely operated under central laws like the Consumer Protection Act and the Code on Social Security. Officials cited difficulties in monitoring and holding platforms accountable in disputes due to the lack of a state-specific framework. The proposal also incorporates a real-time vehicle monitoring portal from existing aggregator rules.
However, the proposal faces potential challenges. Companies might argue they do not "own or operate" fleets, as vehicles belong to individual delivery workers. Clarity is also needed on the basis for the 2% levy, as delivery orders may not always have a clear "fare." Similar legal battles have occurred in other states where platforms contested state welfare levies due to conflicts with central legislation.
Maharashtra has previously struggled with regulating bike-taxi services, with past attempts leading to revoked licenses over issues like petrol vehicle use and rider harassment. While states like Delhi and Haryana have mandated EV transitions for fleets, Maharashtra's proposal stands out by tying platform operations to a gig worker fund.