The State Transport Authority (STA) has suspended the licenses of Uber and Rapido in Chandigarh. Residents and visitors to Chandigarh will no longer be able to use these cab services.
Uber and Rapido banned in Chandigarh.
If you live in Chandigarh and use cabs to commute, this news is important for you. The State Transport Authority (STA) of Chandigarh has suspended the aggregator licenses of both companies for six months. This decision is effective immediately and will remain in effect until March 2027.
Why was the decision taken?
The State Transport Authority (STA) of Chandigarh has suspended the licenses of Uber and Rapido for six months because both companies were repeatedly violating the Chandigarh Administration Motor Vehicle Aggregators Regulations 2025. The STA issued this order on September 8th.
Officials say, "The companies were given ample time and multiple opportunities to comply. But instead of complying, they demanded the implementation of the Central Government's Motor Vehicle Aggregator Guidelines, 2025, in Chandigarh." Furthermore, the list of vehicles submitted by the companies in July 2026 included some non-commercial, or private, vehicles. Such vehicles are not permitted for cab service in Chandigarh.
Not only this, STA Secretary Nitish Singla stated that Uber and Rapido were given sufficient time to comply with regulations regarding driver health checkups, term insurance, training, and fixed fares. Despite this, the companies did not comply. Furthermore, numerous complaints of violations were received against them. Consequently, the STA has suspended the licenses of both companies for six months with immediate effect.
Ola's license has already been revoked.
Previously, the licenses of Ola and inDrive in Chandigarh were also suspended for six months. Consequently, the cancellation of Uber and Rapido's licenses will also create significant difficulties for commuters. The four major cab aggregators in Chandigarh: Ola, Uber, Rapido, and inDrive are now banned.
How will transportation operate now?
Following the suspension of these four major cabs, Bharat Taxi, operated by Sahakari Taxi Cooperative Limited, will remain the primary cab service in the city. This has significantly reduced the options available to daily commuters. Consequently, people will increasingly prioritize local transportation in the city.
