Recently, Union Home Minister Amit Shah has announced that the central government is going to launch the ‘Sahakar’ app based ride–halling platform soon. This service will be based on cooperative models and is being started with the aim of competing with private taxi companies like Ola and Uber.
Know what is cooperation
The aim of ‘Sahakar’ is that the driver should not only be a service provider, but the stakeholders of the business.
This will provide direct benefits, better income and rights to the drivers.
This initiative is part of the ‘Sahakar to prosperity’ mission, which aims to empower the cooperative sector through digital innovation and community-based entrepreneurship.
The announcement was made during the discussion on the Multi-State Cooperative Society (Amendment) Bill, 2023. This bill also includes a proposal to establish the National Cooperative University. Amit Shah said, this is not just a slogan. The Ministry of Cooperation has worked tirelessly to implement it for the last three and a half years. A large cooperative taxi service will be started in a few months, in which the benefits will directly reach the drivers.
Increased monitoring on existing apps
Recently, the Central Consumer Protection Authority (CCPA) sent notices to Ola and Uber, when reports revealed that the difference in the fare of a taxi booked from Android and iPhone was found – which raised serious questions about algorithm transparency and value discrimination.
What will change with ‘Sahakar’?
The aim of the government is that through ‘Sahakar’:
Transparent and equal fare structure be made
Drivers get share in ownership and profit
Monopoly of profits-centric platforms should be challenged
Democratic control should be brought in algorithms and data operations
Cooperative education and future scheme
In Parliament, Amit Shah also announced the establishment of the National Cooperative University, which will prepare new generation leaders in the cooperative sector through diploma, certificate and degree courses. This university will give a strong leadership to this area which empowering millions of farmers and small entrepreneurs.
Launch Plan and Roadmap
The launch date of the ‘Sahakar’ app has not been announced at present, but according to government sources it will start as a pilot project in selected urban areas.
The app will be operated in collaboration with local transport unions and state cooperative departments.
Digital infrastructure will be constructed by cooperative institutions.
Possible changes in India’s urban transport system
If it was implemented effectively, then:
‘Sahakar’ can become a driver-centric option replacing existing high commission apps
Atmanirbharta can get strength in urban mobility sector
There may be inspiration to adopt cooperative models in other areas also
Will success be decided?
According to industry analysts, the success of ‘Sahakar’ will depend on these things:
App user interface and design
Fare transparency
Clarity of rules
And whether this model can provide as much efficiency and access as the existing private apps.