back to top

0

0

13306

0

0

0

Several Startups and Companies Could Profit From the Odd-Even Rule for Private Cars in Delhi

Posted 8 years ago by QuikrCars | 663 views

Arvind Kejriwal and his Government’s decision to allow private vehicles with odd and even registration numbers could actually help some startups get new opportunities and profit.

Traffic Jam solutions in Delhi EXPAND
Image Source: https://pixabay.com/static/uploads/photo/2015/03/25/05/50/traffic-jam-688566_960_720.jpg

The decision by chief minister Arvind Kejriwal to allow private vehicles with even and odd registration numbers on alternate days from the 1st of January has created a big controversy and pricked several Delhi residents. However, this could create a new market opportunity for several startups. According to experts, newly incubated bus aggregation startups like ZipGo and Shuttl along with Ola Bus services could see bigger adoption upon implementation of these measures. Shuttl which was founded in early 2015 is one of the biggest bus aggregation outfits in the Delhi-NCR belt with close to 500 vehicles on the total network. ZipGo has recently entered the Delhi market with women-only buses.

According to sources, the public transport system in Delhi is jam packed with 5 million commuters using buses and 3 million using the metro railway network each day. Owners of 3 million private vehicles will need proper options for commuting upon implementation of the odd-even rule. Startups like Shuttl could benefit by starting routes in areas where there is a greater fall-out of this rule. Several startups like rBus in Mumbai are also considering launches in Delhi even though the Delhi CM has clarified that the odd-even rule will initially be an experiment for the first two weeks of 2016.

The government’s decision was sparked by the announcement of the Delhi High Court that likened Delhi to a gas chamber. Delhi state authorities cannot scale up public transport capacities rapidly and this could benefit companies and startups involved in passenger transportation. Uber and Ola have already started car-pooling services in Bengaluru and are waiting for the fall-out of this decision. However, higher surge pricing may be a reality upon the implementation of this decision as half of the entire private vehicle count will be off roads.

According to Uber, Delhi being the headquarters and one of its major markets, UberPool will soon be brought here. Uber has a roster of 2, 50, 000 driver-partners in 22 cities and Delhi represents its fifth largest market. According to experts, the government and these startups could tie-up for commuter services and thereby broaden the scope of the entire plan.

Download Quikr App for Android, Windows and iOS devices here.

Related Articles