Now arbitrariness in booking journey through app will be curbed in UP, Yogi government keeping an eye on fares too

Up News : Taking a big step towards making transportation and delivery services in Uttar Pradesh more safe, organized and accountable, the Yogi government has implemented the Uttar Pradesh Motor Vehicles (Agglomerator and Delivery Service Provider) Rules 2026. Along with this, upmyfleet.com aggregator portal has also been started. In the new system, many important standards have been set for the safety of passengers, welfare of drivers, monitoring of vehicle pollution, promotion of electric mobility, transparency in fares and quick resolution of complaints.

Aggregators and delivery services get comprehensive regulatory framework for the first time

The Uttar Pradesh government has implemented the Uttar Pradesh Motor Vehicles (Agglomerator and Delivery Service Provider) Rules, 2026 through notification dated 22 May 2026. Under this, rules related to application, license, security deposit and operation have been fixed for aggregators and delivery service providers. This arrangement is important for services related to digital or electronic platforms through which transportation facilities are provided to passengers or a driver is connected to a seller, e-commerce entity or sender to deliver a product, courier, package or parcel. That means, along with app-based passenger transportation, delivery and logistics networks also come under its purview.

From application to license, clear arrangements have been made for the companies.

Under the new policy, the aggregator will have to follow the prescribed procedure for operation. The application fee has been fixed at Rs 25 thousand and the fee for granting license has been fixed at Rs 5 lakh. This will create a clear and formal regulatory regime for the operation of aggregator services. This system will benefit not only the government but also the companies. Companies will get clear guidelines on regulations, safety standards and quality of service, while the transport department will have a systematic framework to monitor aggregator services.

Security deposit will increase accountability of companies

The policy has linked the security amount to be deposited by the aggregator to the size of the vehicle fleet. As per the rules, the security deposit amount has been fixed at Rs 10 lakh for a fleet of up to 100 buses or 1,000 other motor vehicles, Rs 25 lakh for a fleet of up to 1,000 buses or 10,000 other motor vehicles and Rs 50 lakh for a large fleet of more than 1,000 buses or 10,000 other motor vehicles. This will increase the accountability of aggregators doing business on a large scale. The provision of security deposit is important to ensure that regulatory action can be taken effectively in case of violation of license conditions or motor vehicle laws and rules.

Safety of passengers will be the top priority

Safety of passengers has been given prime importance in the new policy of Yogi government. Arrangements have been made to conduct character verification, police verification and psychological testing of the drivers connected through the aggregator. Along with this, drivers will also be given refresher training from time to time.

Insurance for every passenger, health and life safety insurance for drivers too

In the new system, importance has been given to the welfare of not only the passengers but also the drivers. The aggregator will have to arrange insurance for each passenger. For the welfare of drivers, a provision has been made to provide health insurance of Rs 5 lakh and term insurance of Rs 10 lakh. This provision can prove to be an important social security cover for drivers. A large number of drivers work in app-based transportation and delivery services. In such circumstances, insurance protection will provide financial support to their families in circumstances like accident, illness or untimely death.

Ban on arbitrariness in fares, maximum limit fixed for dynamic pricing

In the new policy, important arrangements have also been made regarding the fare charged from passengers. In case the aggregator increases the fare through dynamic pricing, a provision has been made to fix the fare up to a maximum of 50 percent of the fixed base fare. This will help in controlling excessive increase in fares at times of increased demand. Passengers will get better clarity about the actual cost of the service and the maximum fare, while aggregators will also get a clear range for pricing.

Fine of Rs 100 for not picking up the passenger after booking.

Keeping in mind the convenience and time saving of the passengers, a provision of penalty of Rs 100 has been made in case the driver does not pick up the passenger within the stipulated time after the trip is booked. There is also a provision in the policy that the benefit from this penalty will be given to the passenger in the next trip. This can help curb the problem of the driver canceling the trip without valid reason or not arriving to pick up the passenger after accepting the booking. Also, the time and convenience of the passenger will be given importance.

Officer in every aggregator to resolve complaints

To resolve the problems of passengers, every aggregator will have to appoint a Grievance Redressal Officer. This will provide a fixed system for passengers to register and resolve complaints regarding fare, booking, driver, service or other problems. Apart from this, a provision for penalty has also been made for violation of license conditions and provisions prescribed in the Motor Vehicles Act and Rules. This will increase accountability in the operations of aggregator companies and will help the department in ensuring compliance with the rules.

Special emphasis on pollution control and electric mobility in NCR

In this arrangement of Uttar Pradesh government, NCR region has been kept in special consideration. A system of continuous monitoring has been developed through the portal to monitor the air pollution caused by the vehicles included in the aggregator’s fleet. This will help in controlling vehicular pollution especially in NCR. With this, emphasis has been laid on ensuring electric vehicle transition (i.e. shift from petrol-diesel vehicles to battery or electric vehicles) in the aggregator’s fleet. This will help in increasing the share of electric vehicles in transportation and delivery services and reducing pollution in the coming time. This initiative holds special significance in the NCR areas of Uttar Pradesh, where a large number of cabs, delivery and other commercial vehicles ply. Portal-based monitoring will enable the government to get information about the status of the vehicle fleet and its regulatory compliance in a more systematic manner.

Government, companies, drivers and passengers—all benefit

The biggest advantage of the new aggregator policy is that it creates a clear system for all parties involved in this sector. The government and the transport department will get digital medium for monitoring aggregator companies and their vehicles, compliance with rules and pollution control. There will be clarity on licenses, fees, security deposits and operating standards for companies. This is expected to curb the tendency to run services in an uncontrolled manner and develop an organized transport market. Mechanisms like character verification, training, refresher training, health insurance and term insurance for drivers will strengthen safety and social welfare. At the same time, passengers will get the benefit of facilities like verified driver, insurance protection, fare limit, grievance redressal and compensation in case of non-pickup after booking.

UP My Fleet portal becomes digital medium of monitoring and management

upmyfleet.com is playing an important role in the implementation of the new policy. According to the document, the aggregator portal is currently operational and two aggregators from the NCR region and their 3,15,218 vehicles are onboard. Through this digital system, the government will have a systematic database of vehicles connected to aggregator services. This will help in monitoring regulatory compliance, monitoring vehicle pollution and tracking the electric mobility transition of the fleet.

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