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ZipGo Bangalore operations suspended after RTO’s permit concerns

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Shuttle service ZipGo is not currently operating in Bangalore, stating that it is sorting the issue out with the Bangalore Regional Transport Office (RTO). A Hindu report states that the state department has seized 200 vehicles, but it is unclear as to how many of those belong to ZipGo.

This is not the first time the startup has had to suspend its services – 4 of its vehicles were seized by the state transport department for not having stage carrier permits and violating rules in December. At that time, the transport commissioner considered taking the company’s permissions away as well. According to an OfficeChai report, ZipGo claims that its vehicles comply with the state regulation and laws, especially Section 2 (7) of the Motor Vehicles Act.

zipgo tweet

ZipGo states that it is a bus aggregator
Mint report cited a lawyer representing ZipGo as stating that, “These companies are not licensees of the Regional Transport Authority. These are IT platforms that allow independent operators to aggregate and provide service in the interest of reducing traffic congestion on the roads.” In September, the company was slapped with fines, which the company apparently paid to resume its services in the city.

Competing with the BMTC
ZipGo recently launched a new service, taking passengers from the city to the Kempegowda International Airport (Bangalore Airport) for Rs 150, whereas the Bangalore Metropolitan Transport Corporation (BMTC) Vayu Vajra buses offer the same service starting at Rs 170, likely creating competition as Bangalore Citizen Matters had correctly predicted in September last year.

Jaipur Development Authority considering using ZipGo
Strangely, a week old TOI report states that the Jaipur Development Authority is apparently assessing ZipGo’s impact on traffic and pollution in Bangalore and Delhi and considering roping in the company’s services over its Jaipur City Transport Services Limited (JCTSL) services. It added that ZipGo would be beneficial for all of its citizens as a safe mode of transport given the GPS systems on the buses, CCTV cameras and real time tracking.

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Same fate for auto and intercity cab aggregator apps?
In December, online shuttle services Shuttl and Ola Shuttle suspended their operations in Gurgaon for not having got the correct permits for operating shuttle services, whereas bus aggregator Trevo shut operations a month before that. There may be hope, even as autorickshaw aggregators have been seeing the same situation, and intercity cab aggregators might be the next.

ZipGo for women
In November, ZipGo, started by Jitender Sharma and Pritesh Gupta last year, had launched a bus service for women in Delhi NCR, on a membership basis, to reduce the use of personal vehicles and provide mass transport for daily commute.

Written By

I'm a MediaNama alumna from 2015-16 (remember TinyOwl?) now back to cover e-services like food and grocery delivery, app based transport and policies, platforms and media in India.

MediaNama’s mission is to help build a digital ecosystem which is open, fair, global and competitive.

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