Uber announced today that it will resume operations in New Delhi, India. It was banned by authorities six weeks ago after a female passenger accused an Uber driver of rape.
The company had to make a major concession to get around the ban. In a blog post, Uber said that it applied yesterday for a license under Delhi’s Radio Taxi Scheme (pdf link), which requires Uber to eventually maintain a fleet of 200 cabs, run a 24/7 call center, and install taxi meters in cars. In other words, it would have to operate like a traditional taxi company.
Car-calling apps like Uber and Indian competitors Ola and TaxiForSure have opposed the scheme because it requires them to own taxis instead of just functioning as a marketplace for drivers and passengers, and therefore costs more money.
Instead, Uber had argued it should be regulated under India’s Information Technology Act of 2000, which would recognize it as a tech company.
The Radio Taxi Scheme, however, includes several pre-requisites for taxi drivers, including a criminal check, that could help ensure the safety of riders.
Uber added that it is cooperating with Delhi authorities, who have introduced new regulations for car-calling services, and will only work with drivers who have had their police clearance re-verified within the last six weeks.
The car-calling app, which has raised more than $4 billion since 2010, also runs in 11 other Indian cities, including Mumbai, Bangalore, and Hyderabad, where it continued to operate even after pausing its Delhi operations.