Why in news?
In October 2025 the National e‑Governance Division (NeGD) signed a memorandum of understanding with Sahakar Taxi Cooperative to develop the Bharat Taxi platform. This cooperative‑driven ride‑hailing service is slated to launch by December 2025, promising fair earnings for drivers and transparent pricing for passengers.
Background
Bharat Taxi is conceived as a citizen‑first mobility initiative owned and operated by drivers organised under cooperatives. Unlike existing aggregator platforms, it aims to eliminate high commissions and give drivers a stake in decision‑making. The project is being promoted by national cooperatives and financial institutions, including the National Co‑operative Development Corporation, IFFCO, AMUL, KRIBHCO, NAFED, NABARD and the National Dairy Development Board.
Key features
- Cooperative ownership: Drivers will own shares in the service, elect representatives and share profits. This model empowers workers and ensures that earnings stay within the community.
- No commission model: Unlike conventional ride‑hailing platforms, Bharat Taxi does not charge commission on each ride. Drivers receive the full fare, minus minimal platform maintenance fees.
- Integration with government services: The platform will link with DigiLocker, UMANG and API Setu to enable digital driving licences, seamless payments and secure identity verification.
- Pilot and expansion: A pilot with around 650 vehicles began in Delhi in November 2025. Organisers plan to expand to 20 cities, prioritising routes underserved by existing operators.
Benefits
- Fair compensation: Driver‑owners benefit from zero commission and profit‑sharing, improving livelihoods and job security.
- Consumer focus: Transparent pricing and cooperative accountability could enhance passenger trust and safety.
- Promoting cooperatives: The initiative exemplifies the potential of cooperative models to deliver public services in a digital economy.
Significance
- Bharat Taxi could disrupt the ride‑hailing market by offering an alternative to venture‑funded platforms and giving drivers a voice.
- Integration with government digital platforms aligns with the Digital India mission and reduces transaction costs.
- The cooperative model supports inclusive growth and could be replicated for other gig‑economy services.