In the quest for a cleaner and greener tomorrow, policymakers across the globe are turning to innovative solutions that resonate with both environmental concerns and consumer preferences. Carpooling, the practice of sharing rides to reduce emissions and alleviate traffic congestion, stands as a shining example of how technology can revolutionise urban transportation. However, in India, despite its immense potential, carpooling faces a complex web of policy bottlenecks that need to be untangled for this eco-friendly mobility solution to truly flourish.
With 14 Indian cities ranking among the world’s top 20 most polluted cities, the air we breathe is nothing short of a public health crisis. Citizens are increasingly demanding clean air initiatives, and policymakers are heeding the call. Carpooling, with its inherent ability to reduce vehicular emissions and alleviate traffic congestion, aligns perfectly with the clean and green ethos. Consumer preferences, too, are a driving force in the mobility landscape. For many, personal vehicles have long represented comfort, safety, and flexibility. Breaking this entrenched paradigm is a challenging feat. Prominent voices in the space like WRI, suggest that the future of public transport should resonate with consumer choices. While the government’s efforts to bolster public transportation networks are commendable, addressing the needs and desires of existing vehicle owners is equally crucial.
Herein lies the conundrum. The Central Motor Vehicles Act, the cornerstone of India’s vehicular regulation, currently lacks explicit provisions for carpooling. The Act clearly defines the categories of vehicles allowed to carry passengers for ‘hire and reward,’ a definition that unintentionally excludes carpooling. While carpooling businesses do exist in some parts of India, their operations often dwell in the grey area of legality.
Stakeholders in the space like The Taxi and Auto Drivers Association have raised pertinent questions as to how can a private vehicle be used for commercial purposes. While this seems true it must be highlighted that carpooling is fundamentally different from traditional commercial transportation services. Carpooling, at its core, represents an arrangement where individuals share journeys in a single vehicle, with each person taking turns to drive the others. In India, it takes various forms, including acquaintance-based ridesharing, organisational ride-sharing, and ad-hoc ridesharing facilitated by apps. The benefits are undeniable—reduced congestion, lower emissions, and substantial cost savings for commuters.
Internationally, carpooling has earned its stripes as a sustainable urban mobility solution.
Notably, Singapore and the USA offer models worth emulating. In Singapore, carpooling is permitted if it remains non-commercial and centred on cost-sharing. The USA, particularly states like California, have regulations that exempt non-commercial carpooling from commercial ride-sharing rules, making it easier for individuals to share rides. To navigate these policy bottlenecks and fully embrace carpooling, India can draw inspiration from successful global models and develop its own forward-looking policies. For this to happen, regulators need to come up with clear definition(s), a crucial starting point would be to define carpooling clearly within our legal framework.
Drawing inspiration from Singapore and the USA, we should establish carpooling as a non-commercial, cost-sharing endeavour. This definition will provide the much-needed legal recognition for carpooling and pave the way for comprehensive regulations.
Secondly, safety should always be kept paramount. Policies should mandate basic safety standards for carpool vehicles, including maintenance and the use of seatbelts. While extensive background checks for participants may not be necessary, there must be a focus on safe driving practices.
In addition to this, Insurance coverage for carpooling activities should also be clarified. Just as in the USA, personal auto insurance should typically cover carpooling, provided that insurance companies are informed and guidelines are issued to ensure adequate coverage.
Another key aspect is that the regulatory regime should strictly prohibit profit-making to maintain carpooling’s essence as a cost-sharing initiative. Drawing inspiration from Singapore, India should encourage fair and reasonable fare-sharing among participants, ensuring that carpooling remains a solution for all, not a profit for a few.
If this policy is clearly laid out, it may also be able to address the concerns raised by the associations of auto and taxi drivers. Rolling out pilot programs in select cities or regions would certainly educate the regulators in order to make informed decisions about carpooling regulations. These programs can provide valuable insights into the practical challenges and opportunities associated with carpooling in different Indian cities.
Carpooling holds the promise of alleviating urban traffic woes and reducing emissions. To unlock its full potential, India must resolve the policy bottlenecks and create an enabling regulatory environment. As Indian cities grapple with pollution and congestion, embracing carpooling is not just a choice; it’s a necessity. India, especially in tier 1 cities, need to embark on this journey toward cleaner, smarter cities by ensuring that the road ahead is paved with clear policies that steer us in the right direction.
Siddharth Mishra and Abhishek Raj are directors at the Centre for Competition Law and Economics (CCLE). Views expressed in the above piece are personal and solely that of the author. They do not necessarily reflect Firstpost’s views.
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