Government to launch Ola, Uber-like ‘Sahkar’ taxi service: Amit Shah announces in Parliament

Government to Launch ‘Sahkar’ Cooperative Taxi ServiceContext:

Union Home and Cooperation Minister Amit Shah announced in Parliament the launch of ‘Sahkar’, an app-based taxi service modeled on private platforms like Ola and Uber, under the government’s ‘Sahkar se Samriddhi’ (Prosperity through Cooperation) mission. The service will operate on a cooperative model, aiming to empower drivers as stakeholders rather than mere service providers.

Objectives and Features:

• Driver Empowerment: Ensures direct profit flow to drivers, promoting economic participation in a cooperative framework.
• Cooperative Promotion: Aligns with broader government efforts to strengthen multi-state cooperative societies and train youth through the proposed National Cooperative University.
• Consumer Protection: The initiative comes amid scrutiny of private ride-hailing firms (Ola, Uber) for alleged discriminatory pricing, highlighting the government’s push for fair practices in the sector.
• Technology Integration: Likely to leverage app-based management for rides, payments, and driver coordination, similar to private counterparts.

Significance:

• Economic & Social Inclusion: Supports the cooperative sector, historically a vehicle for empowering farmers, small entrepreneurs, and marginalized communities.
• Policy Alignment: Encourages cooperative participation in emerging gig-economy sectors, blending technology with traditional cooperative principles.
• Regulatory Implications: May serve as a model for ethical ride-hailing services with transparent fare structures and stakeholder benefits.
• Skill Development: The National Cooperative University initiative will enhance human capital in the cooperative ecosystem, preparing future leaders and managers.

Challenges & Considerations:

• Implementation & Adoption: Success depends on operational efficiency, driver engagement, and urban rollout strategy.
• Competition: Sahkar will compete with established private players like Ola, Uber, and regional ride-hailing services.
• Technology & Monitoring: Requires robust app-based infrastructure for seamless booking, payment, and grievance redressal.
• Scalability: Nationwide adoption will necessitate policy support, cooperative network expansion, and digital literacy among drivers.
  
  Updated - March 28, 2025 12:50 pm  | The Hindu