Archive · 22 Aug 2026
Uttar Pradesh Caps Aggregator Fares, Regulates App-Based Services
Uttar Pradesh has introduced new rules for ride-booking and delivery companies that use apps.
These rules cover passenger transport, courier services and logistics platforms.
Companies cannot charge more than 50% above the normal fare when demand is high.
They must pay government fees and deposits based on the size of their vehicle fleets.
Drivers must pass background checks, psychological tests and regular training.
Drivers will receive health and life insurance, while passengers must also be insured.
Passengers can receive a Rs 100 benefit on a later trip if a driver accepts a booking but does not arrive on time.
A government portal will monitor vehicles, pollution and the move toward electric vehicles.
Uttar Pradesh has capped dynamic aggregator fares at 50% above prescribed base fares.
The rules cover app-based passenger transport, delivery and logistics services.
Aggregators must pay a Rs 25,000 application fee, Rs 5 lakh licence fee and fleet-based security deposits.
Drivers require character and police verification, psychological testing, refresher training, health insurance and term insurance.
The UP My Fleet portal tracks aggregator vehicles, pollution, regulatory compliance and electric-mobility progress.
- Who
- The Uttar Pradesh government, transport aggregators, delivery service providers, drivers and passengers.
- What
- New rules regulate licensing, fares, safety, insurance, complaints, pollution monitoring and electric-mobility compliance for app-based transport and delivery services.
- When
- The rules were notified on May 22, 2026; the reports were published on August 21.
- Where
- Uttar Pradesh, with particular monitoring attention to the National Capital Region.
- Why
- To establish a regulatory framework and digitally monitor aggregator companies, vehicles, safety standards, pollution and the transition toward electric mobility.
- Dynamic-fare ceiling
- Aggregators may charge a maximum of 50% above the prescribed base fare when using demand-based pricing.
- Application fee
- Rs 25,000.
- Licence fee
- Rs 5 lakh.
- Security deposits
- Deposits range from Rs 10 lakh for smaller fleets to Rs 50 lakh for fleets exceeding 1,000 buses or 10,000 other motor vehicles.
- Driver insurance
- Drivers are entitled to Rs 5 lakh health insurance and Rs 10 lakh term insurance.
- Failed pickup benefit
- A Rs 100 penalty applies when a driver fails to pick up a passenger within the stipulated time after accepting a booking; the benefit goes to the passenger on the next trip.
- UP My Fleet
- The portal is operational with two NCR aggregators and 3,15,218 vehicles onboarded.
