Ride cancellation penalty increased: Maharashtra issues new rules for Uber, Ola and Rapido
New Delhi: App-based ride-hailing platforms, including Uber, Ola and Rapido, have been given until September 1 to comply with Maharashtra’s new aggregator rules or face strict action. The state government has issued instructions to all the ride-hailing companies to register themselves with the Transport Department and get the necessary traffic licence issued under the Maharashtra Aggregator Policy, 2025.

The initiative aims to put app-based transport services onto the regulated map in order to ensure the safety of the public and to make it easier to regulate. The Maharashtra Transport Department said that companies which miss the registration or do not adhere to the rules can be penalised.
Registration and licence required
According to the Maharashtra Motor Vehicle Aggregator Rules 2026, the aggregators are required to register with the Transport Department of Maharashtra and get a licence from the State Transport Authority. The licence will be valid for 3 years.
All the vehicles on these platforms must also possess commercial permits and insurance. Private vehicles without the required commercial permits will not be allowed to offer rides through aggregator apps.
State Transport Minister Pratap Sarnaik said the government was in favour of technology-based transport but would not let companies go beyond the legal framework and compromise the safety of the passengers.
Higher penalty for cancelling key rides
The new regulations put more pressure on both aggregators and drivers. The Maharashtra Motor Vehicle Aggregator Rules, 2026, have prescribed a five-fold increase in the penalty amount for those drivers who cancel their ride orders at an airport, hospital, or railway station.
The regulations also make five-day induction training mandatory for drivers. Other measures include grievance redressal systems, guidelines and maintenance standards for electric vehicle fleets, etc.
According to the Maharashtra government, the new framework will result in a better level of accountability and operational discipline in the ride-hailing platforms and make the transport service safer and more reliable for commuters.
