16 June,2026 03:15 PM IST | Mumbai | mid-day online correspondent
BJP MLC Pravin Darekar. Pic/X
BJP MLC Pravin Darekar on Monday announced that cooperative taxi services named "Devabhau Taxi" and "Chhava Taxi" will soon be launched in Mumbai and the Mumbai Metropolitan Region (MMR), with the stated objective of providing an alternative to private app-based cab aggregators and increasing earnings for drivers.
According to Darekar, the initiative is being developed on the lines of the "Bharat Taxi" model and is expected to reduce the commission burden imposed by private ride-hailing platforms while allowing drivers to retain ownership of their vehicles.
However, the proposal has triggered criticism from social activist Anjali Damania and the Congress, both of whom have raised concerns about the use of funds from Mumbai District Central Cooperative Bank and the political branding associated with the scheme.
Addressing reporters, Darekar said the proposed service seeks to create a driver-centric transport network that would operate through a cooperative structure.
He argued that private aggregators charge substantial commissions from drivers and vehicle owners, reducing their earnings. The new model, he said, would allow profits to flow directly to drivers and vehicle owners while offering passengers a competitive and reliable transportation service.
Darekar said the initiative has received policy-level support from the Maharashtra government and that operational preparations are already underway.
The BJP legislator said the first phase of the project is expected to include between 2,000 and 5,000 vehicles operating across Mumbai and the wider MMR region.
The service is being promoted under the slogan "Apali Taxi, Apali Malaki" (Our Taxi, Our Ownership), with the emphasis on ensuring that participating drivers remain owners of their vehicles rather than working under third-party operators.
According to Darekar, individuals holding valid driving licences, as well as existing vehicle owners, will be eligible to participate in the scheme.
A key component of the proposal involves financial support for prospective taxi operators.
Darekar, who serves as chairman of Mumbai District Central Cooperative Bank, said eligible applicants would be able to obtain vehicle purchase loans from the bank at an interest rate of 10 per cent.
The proposal also includes interest reimbursement support through various state-backed corporations, including the Annasaheb Patil Economic Development Corporation, OBC Corporation, Vimukta Jati and Nomadic Tribes Corporation and Maharashtra State Development Corporation.
According to Darekar, these subsidies could significantly reduce the effective borrowing cost for beneficiaries and encourage greater participation in the scheme.
Social activist Anjali Damania questioned the use of Mumbai Bank's resources for the project and objected to the naming of the proposed service.
In a social media post, she asked whether funds belonging to depositors were being used to support a politically branded commercial venture.
Damania argued that ordinary citizens, farmers and small entrepreneurs often face difficulties in obtaining loans and questioned whether similar standards would be applied to applicants under the taxi scheme.
She also demanded greater transparency regarding loan eligibility criteria, interest rates, approval processes and any potential conflicts of interest.
The Congress echoed many of Damania's concerns and called for greater disclosure regarding the financial structure of the project.
Maharashtra Congress general secretary Dhananjay Shinde said Mumbai Bank belongs to its depositors and stakeholders and should not be perceived as serving political interests.
He argued that questions surrounding the use of depositor funds, beneficiary selection mechanisms and political branding require detailed public clarification.
Shinde also called for complete transparency in the bank's decision-making process and urged authorities to disclose the financial blueprint of the project, including loan approval procedures and safeguards against conflicts of interest.
The announcement has sparked a broader discussion about the role of cooperative institutions in supporting employment generation and transportation services.
Supporters of the initiative argue that it could provide new livelihood opportunities, particularly for local youth, while offering an alternative to private cab aggregators. Critics, however, contend that questions regarding financing, governance and branding need to be addressed before the project is implemented.
As registration for the proposed service progresses, attention is likely to remain focused on how the scheme will be funded, regulated and administered, as well as the extent to which it can compete with established ride-hailing platforms operating in Mumbai and neighbouring regions.
(With inputs from PTI)
