The Maharashtra government has notified its long-awaited aggregator policy for app-based cab services such as Ola and Uber. The policy introduces rules for fares, driver training, EV adoption, as well as financial penalties for cancellations.

A Government Resolution issued on Tuesday and approved by the state cabinet outlines a regulatory framework aimed at ensuring fair practices and a smoother experience for riders and drivers alike. As per the guidelines, if Uber/Ola driver cancels a booking without a valid reason, a penalty of 10 per cent of the fare or 100 rupees-whichever is less-will be imposed on the driver.

Similarly, if a passenger cancels a booked ride without a valid reason, a penalty of 5 per cent of the fare or 50 rupees will be awarded to the driver. The deductions will be made automatically through the app to maintain accountability on both sides. Besides, fares during peak hours cannot be higher than 1.5 times the base fare determined by the Regional Transport Authority.