January 2011
Governance Knowledge CentrePromoted by Department of Administrative Reforms and Public GrievancesMinistry of Personnel, Public Grievances and Pensions, Government of Indiahttp://indiagovernance.gov.in/
Researched and Documented by
OneWorld Foundation India
The Auto Rickshaw Restructuring Project
TRANSPARENCY AND
Governance Knowledge CentrePromoted by Department of Administrative Reforms and Public Grievances
Ministry of Personnel, Public Grievances and Pensions
Government of India
Table of Contents Executive summary ................................
Background ................................
Problems ................................
Objectives ................................................................
Working Design ................................
Methodology ................................
Key Stakeholders................................
The Way Forward ................................
Recap of Benefits ................................
Issues and Recommendations
References ................................
Appendix A- Interview Questionnaire
RANSPARENCY AND ACCOUNTABILITY
Knowledge Centre Promoted by Department of Administrative Reforms and Public Grievances
Ministry of Personnel, Public Grievances and Pensions
Researched and documented by
OneWorld Foundation India
Auto Rickshaw Restructuring Project
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Issues and Recommendations ................................................................................................
................................................................................................................................
Interview Questionnaire ................................................................
CCOUNTABILITY
Case Study Urban Development
Rickshaw Restructuring Project
January 2011
1
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TRANSPARENCY AND
Governance Knowledge CentrePromoted by Department of Administrative Reforms and Public Grievances
Ministry of Personnel, Public Grievances and Pensions
Government of India
EXECUTIVE SUMMARY It is widely agreed upon that auto rickshaws are a vital mode of transport in Indian cities,
providing low-cost mobility and connecting travellers to mass transit or directly to their
destinations. The auto-rickshaw sector also provides livelihoods for som
citizens.
Recognising the key role that the auto rickshaw sector plays in the urban transportation system,
but also the need for its restructuring, EMBARQ (also known as the Centre for Sustainable
Transport which is part of the World Resources Institute) received a
Philanthropies and Shell Foundation to reform this sector. To date, EMBARQ has conducted a
comprehensive study on the role of auto rickshaws in the urban sector, identifying the areas
that require the most critical attention. A pilot p
2011 with the aim of expansion to other cities over time.
This document looks at the restructuring plan as an appropriate and well
improving the mobility of Indians in a safe, low
BACKGROUND Thirty percent of Indias population is urban. The 285 million urban inhabitants as of 2001, has
been projected to grow to 473 million by 2021, and 820 million by 2051. As such, cities must be
prepared for this change.
One of the major effects of urban population growth has been an explosive increase in the
number of motor vehicles, which has resulted in road congestion and a growing number of
road accidents. For example, on average, the population of Indias
increased by 1.9 times from 1981 to 2001, which is paralleled by the increase in number of
motor vehicles by over 7.75 times during the same period. This has caused a few major
problems. For one, non-motorised modes of transport
dangerous since roads are shared with motorised vehicles. In effect, accessibility to safe
transport has become difficult for the poor. Incidents of accidents have skyrocketed from 1.6
lakh in 1981, to over 3.9 lakh in
increased from 28,400 to over 80,000 during the same period. This again has disproportionately
impacted the poor especially cyclists, pedestrians and pavement dwellers. Lastly, the increased
use of personal vehicles has contributed to the degradation of air quality.
RANSPARENCY AND ACCOUNTABILITY
Knowledge Centre Promoted by Department of Administrative Reforms and Public Grievances
Ministry of Personnel, Public Grievances and Pensions
Researched and documented by
OneWorld Foundation India
Auto Rickshaw Restructuring Project
EXECUTIVE SUMMARY It is widely agreed upon that auto rickshaws are a vital mode of transport in Indian cities,
cost mobility and connecting travellers to mass transit or directly to their
rickshaw sector also provides livelihoods for som
Recognising the key role that the auto rickshaw sector plays in the urban transportation system,
but also the need for its restructuring, EMBARQ (also known as the Centre for Sustainable
Transport which is part of the World Resources Institute) received a grant from Bloomberg
Philanthropies and Shell Foundation to reform this sector. To date, EMBARQ has conducted a
comprehensive study on the role of auto rickshaws in the urban sector, identifying the areas
that require the most critical attention. A pilot project will begin in Rajkot, Gujarat in January
2011 with the aim of expansion to other cities over time.
This document looks at the restructuring plan as an appropriate and well
improving the mobility of Indians in a safe, low-cost, and environmentally friendly way.
Thirty percent of Indias population is urban. The 285 million urban inhabitants as of 2001, has
been projected to grow to 473 million by 2021, and 820 million by 2051. As such, cities must be
One of the major effects of urban population growth has been an explosive increase in the
number of motor vehicles, which has resulted in road congestion and a growing number of
road accidents. For example, on average, the population of Indias six major metropolises has
increased by 1.9 times from 1981 to 2001, which is paralleled by the increase in number of
motor vehicles by over 7.75 times during the same period. This has caused a few major
motorised modes of transport like cycling and walking have become
dangerous since roads are shared with motorised vehicles. In effect, accessibility to safe
transport has become difficult for the poor. Incidents of accidents have skyrocketed from 1.6
lakh in 1981, to over 3.9 lakh in 2001. The number of persons killed in road accidents has also
increased from 28,400 to over 80,000 during the same period. This again has disproportionately
impacted the poor especially cyclists, pedestrians and pavement dwellers. Lastly, the increased
e of personal vehicles has contributed to the degradation of air quality.
CCOUNTABILITY
Case Study Urban Development
Rickshaw Restructuring Project
January 2011
1
It is widely agreed upon that auto rickshaws are a vital mode of transport in Indian cities,
cost mobility and connecting travellers to mass transit or directly to their
rickshaw sector also provides livelihoods for some of Indias poorest
Recognising the key role that the auto rickshaw sector plays in the urban transportation system,
but also the need for its restructuring, EMBARQ (also known as the Centre for Sustainable
grant from Bloomberg
Philanthropies and Shell Foundation to reform this sector. To date, EMBARQ has conducted a
comprehensive study on the role of auto rickshaws in the urban sector, identifying the areas
roject will begin in Rajkot, Gujarat in January
This document looks at the restructuring plan as an appropriate and well-designed solution to
and environmentally friendly way.
Thirty percent of Indias population is urban. The 285 million urban inhabitants as of 2001, has
been projected to grow to 473 million by 2021, and 820 million by 2051. As such, cities must be
One of the major effects of urban population growth has been an explosive increase in the
number of motor vehicles, which has resulted in road congestion and a growing number of
six major metropolises has
increased by 1.9 times from 1981 to 2001, which is paralleled by the increase in number of
motor vehicles by over 7.75 times during the same period. This has caused a few major
like cycling and walking have become
dangerous since roads are shared with motorised vehicles. In effect, accessibility to safe
transport has become difficult for the poor. Incidents of accidents have skyrocketed from 1.6
2001. The number of persons killed in road accidents has also
increased from 28,400 to over 80,000 during the same period. This again has disproportionately
impacted the poor especially cyclists, pedestrians and pavement dwellers. Lastly, the increased
TRANSPARENCY AND
Governance Knowledge CentrePromoted by Department of Administrative Reforms and Public Grievances
Ministry of Personnel, Public Grievances and Pensions
Government of India
Auto rickshaws per 100,000 people city
Source: Ministry of Urban Development, 2008
The deteriorating situation indicates a critical need to implement transport reforms for the
provision of effective and sustainable public services for safe mobility. Auto rickshaws are
central to this equation as they provide low and middle income commute
accessible form of transport.
Auto rickshaws, or three-wheelers, are a popular medium of public transport for a number of
reasons. Evidential data shows that auto rickshaws are safer than other modes of transport.
Specifically, due to the auto rickshaws lower speed of travel, smaller size and easy
manoeuvrability, it is the motorised way of transport with the lowest commuter fatality rates.
Anecdotally, three-wheelers are also preferable due to the personal space they provide. Last
mile connectivity, from bus or train stations for example, is a commonly identified benefit.
Women and school children are noted as two
Lastly, auto rickshaw is a low emitter of carbon and therefore, is less
environment than alternative forms of transport.
In the capital city of New Delhi, the government has noted a growing pollution problem
primarily due to an increase in the number of private vehicles. One of the best ways to tackle
this issue and curb motorisation is to develop an effective public transport system, of which
auto rickshaws are an integral part because they provide last
instrumental to shifting motorists to public transit.
Focusing on the restructuring of the auto rickshaw sector, EMBARQ (Centre for Sustainable
Transport) conducted a comprehensive study to identify the most pertinent issues at hand. The
following is a summary of their analysis.
RANSPARENCY AND ACCOUNTABILITY
Knowledge Centre Promoted by Department of Administrative Reforms and Public Grievances
Ministry of Personnel, Public Grievances and Pensions
Researched and documented by
OneWorld Foundation India
Auto Rickshaw Restructuring Project
Auto rickshaws per 100,000 people city-wise:
Source: Ministry of Urban Development, 2008
The deteriorating situation indicates a critical need to implement transport reforms for the
provision of effective and sustainable public services for safe mobility. Auto rickshaws are
central to this equation as they provide low and middle income commute
wheelers, are a popular medium of public transport for a number of
reasons. Evidential data shows that auto rickshaws are safer than other modes of transport.
to the auto rickshaws lower speed of travel, smaller size and easy
manoeuvrability, it is the motorised way of transport with the lowest commuter fatality rates.
wheelers are also preferable due to the personal space they provide. Last
mile connectivity, from bus or train stations for example, is a commonly identified benefit.
Women and school children are noted as two of the most likely travellers by auto rickshaw.
Lastly, auto rickshaw is a low emitter of carbon and therefore, is less
environment than alternative forms of transport.
In the capital city of New Delhi, the government has noted a growing pollution problem
primarily due to an increase in the number of private vehicles. One of the best ways to tackle
sue and curb motorisation is to develop an effective public transport system, of which
auto rickshaws are an integral part because they provide last-mile connectivity and also are
instrumental to shifting motorists to public transit.
Focusing on the restructuring of the auto rickshaw sector, EMBARQ (Centre for Sustainable
Transport) conducted a comprehensive study to identify the most pertinent issues at hand. The
following is a summary of their analysis.
CCOUNTABILITY
Case Study Urban Development
Rickshaw Restructuring Project
January 2011
1
The deteriorating situation indicates a critical need to implement transport reforms for the
provision of effective and sustainable public services for safe mobility. Auto rickshaws are
rs with a low cost and
wheelers, are a popular medium of public transport for a number of
reasons. Evidential data shows that auto rickshaws are safer than other modes of transport.
to the auto rickshaws lower speed of travel, smaller size and easy
manoeuvrability, it is the motorised way of transport with the lowest commuter fatality rates.
wheelers are also preferable due to the personal space they provide. Last
mile connectivity, from bus or train stations for example, is a commonly identified benefit.
of the most likely travellers by auto rickshaw.
Lastly, auto rickshaw is a low emitter of carbon and therefore, is less harmful to the
In the capital city of New Delhi, the government has noted a growing pollution problem
primarily due to an increase in the number of private vehicles. One of the best ways to tackle
sue and curb motorisation is to develop an effective public transport system, of which
mile connectivity and also are
Focusing on the restructuring of the auto rickshaw sector, EMBARQ (Centre for Sustainable
Transport) conducted a comprehensive study to identify the most pertinent issues at hand. The
TRANSPARENCY AND
Governance Knowledge CentrePromoted by Department of Administrative Reforms and Public Grievances
Ministry of Personnel, Public Grievances and Pensions
Government of India
Intermediate public transport (buses, autos & taxis) share amongst road transport modes
Source: City Traffic & Transportation Plans (CTTPs)
PROBLEMS
The Debt Trap
Auto drivers either rent or own their vehicles. Those that rent them from contractors pay 250 to
300 rupees for 10 to 12 hours. Much of their profits are spent on CNG. Today, an average of 80
percent of auto drivers rent their vehicles. Drivers who own aut
loan for both the vehicle and the permit to drive it. Monthly loan repayments are typically 9000
to 15000 rupees.
In 1997, the Supreme Court of India set an upper limit of autos in an attempt to cut carbon
emissions from vehicles. At that time, the price of an auto permit rocketed and a burgeoning
black market for permits emerged. Auto
their existing stock of auto-permits suddenly became a very precious commodity. In t
1990s, a new auto-rickshaw with permit cost Rs.1 to 1.5 lakhs from an auto
after a decade of inflation on the black market, the auto and permit package costs Rs.4 to 4.5
lakhs: Rs.1.45 lakhs for the new auto and Rs.3 lakh for the
also good news for contractors. No new auto
increasing number of willing drivers
autos up, which allowed contractors to hike
RANSPARENCY AND ACCOUNTABILITY
Knowledge Centre Promoted by Department of Administrative Reforms and Public Grievances
Ministry of Personnel, Public Grievances and Pensions
Researched and documented by
OneWorld Foundation India
Auto Rickshaw Restructuring Project
rt (buses, autos & taxis) share amongst road transport modes
Source: City Traffic & Transportation Plans (CTTPs)
Auto drivers either rent or own their vehicles. Those that rent them from contractors pay 250 to
300 rupees for 10 to 12 hours. Much of their profits are spent on CNG. Today, an average of 80
percent of auto drivers rent their vehicles. Drivers who own autos generally purchase it on a
loan for both the vehicle and the permit to drive it. Monthly loan repayments are typically 9000
In 1997, the Supreme Court of India set an upper limit of autos in an attempt to cut carbon
vehicles. At that time, the price of an auto permit rocketed and a burgeoning
black market for permits emerged. Auto-financiers found themselves in a lucrative position as
permits suddenly became a very precious commodity. In t
rickshaw with permit cost Rs.1 to 1.5 lakhs from an auto
after a decade of inflation on the black market, the auto and permit package costs Rs.4 to 4.5
lakhs: Rs.1.45 lakhs for the new auto and Rs.3 lakh for the permit. Hence, the cap on autos was
also good news for contractors. No new auto-rickshaws coming onto the streets but an
increasing number of willing drivers -migrants from Bihar and UP - pushed demand for rented
autos up, which allowed contractors to hike up rents.
CCOUNTABILITY
Case Study Urban Development
Rickshaw Restructuring Project
January 2011
1
rt (buses, autos & taxis) share amongst road transport modes:
Auto drivers either rent or own their vehicles. Those that rent them from contractors pay 250 to
300 rupees for 10 to 12 hours. Much of their profits are spent on CNG. Today, an average of 80
os generally purchase it on a
loan for both the vehicle and the permit to drive it. Monthly loan repayments are typically 9000
In 1997, the Supreme Court of India set an upper limit of autos in an attempt to cut carbon
vehicles. At that time, the price of an auto permit rocketed and a burgeoning
financiers found themselves in a lucrative position as
permits suddenly became a very precious commodity. In the late
rickshaw with permit cost Rs.1 to 1.5 lakhs from an auto-financier. Today,
after a decade of inflation on the black market, the auto and permit package costs Rs.4 to 4.5
permit. Hence, the cap on autos was
rickshaws coming onto the streets but an
pushed demand for rented
TRANSPARENCY AND
Governance Knowledge CentrePromoted by Department of Administrative Reforms and Public Grievances
Ministry of Personnel, Public Grievances and Pensions
Government of India
In 1998, the balance of power shifted in favour of financiers once again. The Supreme Court
ordered that all public transport vehicles convert to CNG. Under the threat of having their
permits cancelled for noncompliance, owner
conversion kit. In 2000, just before the switch, there were 83000 auto rickshaws on the roads,
but just eighteen months later the number dropped to 55000.
Aware that the average auto driver could not afford a CNG kit, so
by the Delhi Finance Corporation. However, the increasingly powerful auto financiers was said
to have: firstly, stalled the soft loan scheme, denying drivers credit and, secondly, arbitrarily
cancelled thousands of auto perm
convert their autos to CNG and had little choice but to sell their autos and valid permits to
financiers at bargain prices. Others had their permits voided and were left with a machine that
they could not legally drive, so selling it to a financier was the only option. The result was a
reduction in the number of autos by nearly 30000.
Financiers hold most of Delhis auto
financier. Most are in the name of the original owner, who may have sold the vehicle many
years ago. When a driver buys the Rs.4 to 4.5 lakh auto and permit package, the permit will not
be transferred into his name until he has paid off the loan, and therefore, he may be drivi
illegally.
Migrants and Logistics
Many auto drivers come from rural Bihar and UP. They have little experience with contracts
and business procedures. They have no way of knowing that the actions demanded of them by
auto-financiers are dubious or illegal. For example, when signing a loan ag
financier will insist that the driver signs several blank contracts. This gives the financier the
ability to raise interest rates above the standard 16 to 18 percent and possibility deny that he
has received money from the driver even when the
supporting the fact that this also allows the financier to charge exorbitant penalty charges and
to trade the drivers debt on the black market. Many of Delhis owner
repaying loans for seven or eight years and sometimes for longer. Due to compounding interest
and late payment penalty charges, payments have been reported as high as Rs. 30000.
Auto drivers must carry roughly sixteen documents with them at all times, including a licence,
commercial badge, vehicle fitness certificate, and a pollution control certificate. Drivers travel
to the Transport Department to complete applications for compulsory documents. However,
RANSPARENCY AND ACCOUNTABILITY
Knowledge Centre Promoted by Department of Administrative Reforms and Public Grievances
Ministry of Personnel, Public Grievances and Pensions
Researched and documented by
OneWorld Foundation India
Auto Rickshaw Restructuring Project
In 1998, the balance of power shifted in favour of financiers once again. The Supreme Court
ordered that all public transport vehicles convert to CNG. Under the threat of having their
permits cancelled for noncompliance, owner-drivers had to spend Rs 25000 to 30000 for a CNG
conversion kit. In 2000, just before the switch, there were 83000 auto rickshaws on the roads,
but just eighteen months later the number dropped to 55000.
Aware that the average auto driver could not afford a CNG kit, soft loans were made available
by the Delhi Finance Corporation. However, the increasingly powerful auto financiers was said
to have: firstly, stalled the soft loan scheme, denying drivers credit and, secondly, arbitrarily
cancelled thousands of auto permits. Consequently, thousands of drivers were unable to
convert their autos to CNG and had little choice but to sell their autos and valid permits to
financiers at bargain prices. Others had their permits voided and were left with a machine that
not legally drive, so selling it to a financier was the only option. The result was a
reduction in the number of autos by nearly 30000.
Financiers hold most of Delhis auto-permits. But these permits are often not in the name of the
n the name of the original owner, who may have sold the vehicle many
years ago. When a driver buys the Rs.4 to 4.5 lakh auto and permit package, the permit will not
be transferred into his name until he has paid off the loan, and therefore, he may be drivi
Many auto drivers come from rural Bihar and UP. They have little experience with contracts
and business procedures. They have no way of knowing that the actions demanded of them by
financiers are dubious or illegal. For example, when signing a loan ag
financier will insist that the driver signs several blank contracts. This gives the financier the
ability to raise interest rates above the standard 16 to 18 percent and possibility deny that he
has received money from the driver even when the full loan has been repaid. There is evidence
supporting the fact that this also allows the financier to charge exorbitant penalty charges and
to trade the drivers debt on the black market. Many of Delhis owner
n or eight years and sometimes for longer. Due to compounding interest
and late payment penalty charges, payments have been reported as high as Rs. 30000.
Auto drivers must carry roughly sixteen documents with them at all times, including a licence,
ercial badge, vehicle fitness certificate, and a pollution control certificate. Drivers travel
to the Transport Department to complete applications for compulsory documents. However,
CCOUNTABILITY
Case Study Urban Development
Rickshaw Restructuring Project
January 2011
1
In 1998, the balance of power shifted in favour of financiers once again. The Supreme Court
ordered that all public transport vehicles convert to CNG. Under the threat of having their
pend Rs 25000 to 30000 for a CNG
conversion kit. In 2000, just before the switch, there were 83000 auto rickshaws on the roads,
ft loans were made available
by the Delhi Finance Corporation. However, the increasingly powerful auto financiers was said
to have: firstly, stalled the soft loan scheme, denying drivers credit and, secondly, arbitrarily
its. Consequently, thousands of drivers were unable to
convert their autos to CNG and had little choice but to sell their autos and valid permits to
financiers at bargain prices. Others had their permits voided and were left with a machine that
not legally drive, so selling it to a financier was the only option. The result was a
permits. But these permits are often not in the name of the
n the name of the original owner, who may have sold the vehicle many
years ago. When a driver buys the Rs.4 to 4.5 lakh auto and permit package, the permit will not
be transferred into his name until he has paid off the loan, and therefore, he may be driving it
Many auto drivers come from rural Bihar and UP. They have little experience with contracts
and business procedures. They have no way of knowing that the actions demanded of them by
financiers are dubious or illegal. For example, when signing a loan agreement, the
financier will insist that the driver signs several blank contracts. This gives the financier the
ability to raise interest rates above the standard 16 to 18 percent and possibility deny that he
full loan has been repaid. There is evidence
supporting the fact that this also allows the financier to charge exorbitant penalty charges and
to trade the drivers debt on the black market. Many of Delhis owner-drivers have been
n or eight years and sometimes for longer. Due to compounding interest
and late payment penalty charges, payments have been reported as high as Rs. 30000.
Auto drivers must carry roughly sixteen documents with them at all times, including a licence,
ercial badge, vehicle fitness certificate, and a pollution control certificate. Drivers travel
to the Transport Department to complete applications for compulsory documents. However,
TRANSPARENCY AND
Governance Knowledge CentrePromoted by Department of Administrative Reforms and Public Grievances
Ministry of Personnel, Public Grievances and Pensions
Government of India
each application requires a long list of supporting documents (up to fift
drivers simply do not have and may not be able to obtain. For example, a fifty year old driver
applying for a commercial badge may be asked for his school certificates from rural Bihar
which he received thirty years prior. A Delhi ID
applications, are difficult for migrant drivers to obtain. Corrupt practices also arise when
people are aware that requirements are very difficult to meet.
Safety and the Environment
Autos are relatively safe form of travel for a few reasons.
With a 180 cc engine and maximum speed of 40 kilometres per hour, they are easy to
control. The three-wheel design of auto
in traffic, so they are better able to avoid conflicts with other users of the system
compared to 4-wheeled motor vehicles.
Research has shown that the presence of auto
variations in traffic flow and helps maintain traffic flow within a particular speed range.
Through the use of technology and by
increased even further. The Environment Pollution Control Authority (EPCA) recommends
that the government require auto rickshaw owners and drivers to carry biometric smart cards
and public service vehicle b
recommendations include using Global Positioning System (GPS) to improve fare calculation
and mitigate overcharging; upgradation of emissions testing systems, and exploration of
different approaches to better integrate the auto rickshaws with mass transit such as the
provision of parking for auto rickshaws at bus and metro stations.
RANSPARENCY AND ACCOUNTABILITY
Knowledge Centre Promoted by Department of Administrative Reforms and Public Grievances
Ministry of Personnel, Public Grievances and Pensions
Researched and documented by
OneWorld Foundation India
Auto Rickshaw Restructuring Project
each application requires a long list of supporting documents (up to fifteen), which many auto
drivers simply do not have and may not be able to obtain. For example, a fifty year old driver
applying for a commercial badge may be asked for his school certificates from rural Bihar
which he received thirty years prior. A Delhi ID and a ration card, which are standard for many
applications, are difficult for migrant drivers to obtain. Corrupt practices also arise when
people are aware that requirements are very difficult to meet.
Safety and the Environment
form of travel for a few reasons.
With a 180 cc engine and maximum speed of 40 kilometres per hour, they are easy to
wheel design of auto-rickshaws also make them easily manoeuvrable
in traffic, so they are better able to avoid conflicts with other users of the system
wheeled motor vehicles.
Research has shown that the presence of auto-rickshaws on the road reduces speed
variations in traffic flow and helps maintain traffic flow within a particular speed range.
Through the use of technology and by tightening regulation, the safety of autos can be
increased even further. The Environment Pollution Control Authority (EPCA) recommends
that the government require auto rickshaw owners and drivers to carry biometric smart cards
and public service vehicle badges, which can be built through an integrated system. Other
recommendations include using Global Positioning System (GPS) to improve fare calculation
and mitigate overcharging; upgradation of emissions testing systems, and exploration of
ches to better integrate the auto rickshaws with mass transit such as the
provision of parking for auto rickshaws at bus and metro stations.
CCOUNTABILITY
Case Study Urban Development
Rickshaw Restructuring Project
January 2011
1
een), which many auto
drivers simply do not have and may not be able to obtain. For example, a fifty year old driver
applying for a commercial badge may be asked for his school certificates from rural Bihar
and a ration card, which are standard for many
applications, are difficult for migrant drivers to obtain. Corrupt practices also arise when
With a 180 cc engine and maximum speed of 40 kilometres per hour, they are easy to
rickshaws also make them easily manoeuvrable
in traffic, so they are better able to avoid conflicts with other users of the system
rickshaws on the road reduces speed
variations in traffic flow and helps maintain traffic flow within a particular speed range.
tightening regulation, the safety of autos can be
increased even further. The Environment Pollution Control Authority (EPCA) recommends
that the government require auto rickshaw owners and drivers to carry biometric smart cards
adges, which can be built through an integrated system. Other
recommendations include using Global Positioning System (GPS) to improve fare calculation
and mitigate overcharging; upgradation of emissions testing systems, and exploration of
ches to better integrate the auto rickshaws with mass transit such as the
TRANSPARENCY AND
Governance Knowledge CentrePromoted by Department of Administrative Reforms and Public Grievances
Ministry of Personnel, Public Grievances and Pensions
Government of India
Source: National Institute of Mental Health and Neuro Sciences (NIMHANS), Bangalore
On a per passenger basis, auto
due to their smaller engines. With the conversion of auto
(CNG) in Delhi and from 2-stroke engines to 4
been addressed to a large extent. Similar opportunities exist in other cities to make auto
rickshaws more environmentally friendly.
Integration
Promoting auto-rickshaws in a city is a key part of developing an integrated public transport
system. The service provided by auto
privacy, which may not be matched in many cases, even with an excellent
Space
Promoting an intermediate public transport (IPT), auto
considered favourable as it would utilise a considerable amount of less space. For every new
private car, a minimum of two additional parking
and the other at the destination). An auto rickshaw, on the other hand, only requires one
parking space in the city since there are typically no parking fees for private cars in urban areas.
An auto-rickshaw carries on average the same number of people as a private car, while
occupying one-third the parking area and half the space as a car while in motion.
Lowering Costs
Auto rickshaws, as compared to private cars, consume about one
their production owing to their smaller size. Lower capital costs also allow auto
RANSPARENCY AND ACCOUNTABILITY
Knowledge Centre Promoted by Department of Administrative Reforms and Public Grievances
Ministry of Personnel, Public Grievances and Pensions
Researched and documented by
OneWorld Foundation India
Auto Rickshaw Restructuring Project
Source: National Institute of Mental Health and Neuro Sciences (NIMHANS), Bangalore
per passenger basis, auto-rickshaws produce lower emissions as compared to private cars,
due to their smaller engines. With the conversion of auto-rickshaws to compressed natural gas
stroke engines to 4-stroke engines, emissions
been addressed to a large extent. Similar opportunities exist in other cities to make auto
rickshaws more environmentally friendly.
rickshaws in a city is a key part of developing an integrated public transport
system. The service provided by auto-rickshaws helps with point-to-point connectivity, and
privacy, which may not be matched in many cases, even with an excellent
Promoting an intermediate public transport (IPT), auto-rickshaws instead of private cars, is
considered favourable as it would utilise a considerable amount of less space. For every new
private car, a minimum of two additional parking spaces are required in the city (one at home,
and the other at the destination). An auto rickshaw, on the other hand, only requires one
parking space in the city since there are typically no parking fees for private cars in urban areas.
arries on average the same number of people as a private car, while
third the parking area and half the space as a car while in motion.
Auto rickshaws, as compared to private cars, consume about one-third the national resources in
their production owing to their smaller size. Lower capital costs also allow auto
CCOUNTABILITY
Case Study Urban Development
Rickshaw Restructuring Project
January 2011
1
Source: National Institute of Mental Health and Neuro Sciences (NIMHANS), Bangalore
rickshaws produce lower emissions as compared to private cars,
rickshaws to compressed natural gas
stroke engines, emissions from this sector have
been addressed to a large extent. Similar opportunities exist in other cities to make auto-
rickshaws in a city is a key part of developing an integrated public transport
point connectivity, and
privacy, which may not be matched in many cases, even with an excellent bus system.
rickshaws instead of private cars, is
considered favourable as it would utilise a considerable amount of less space. For every new
spaces are required in the city (one at home,
and the other at the destination). An auto rickshaw, on the other hand, only requires one
parking space in the city since there are typically no parking fees for private cars in urban areas.
arries on average the same number of people as a private car, while
third the parking area and half the space as a car while in motion.
third the national resources in
their production owing to their smaller size. Lower capital costs also allow auto-rickshaws to
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operate at rates that serve as a low
populations. Due to their lower weight and slower speeds, auto rickshaws cause less wear
tear of pavement, thus also lowering the costs of highway maintenance.
OBJECTIVES To push forward transport reforms that will ensure a sustai
friendly and non-polluting auto rickshaw system in urban areas.
To achieve this they hope to:
Assessing issues and problems in the sector
Documenting past reforms, (conversion to CNG gas, 4 stroke engine etc)
Evaluating potential reform options for the future, and
Developing a restructuring plan for the auto
for target cities in India.
Working Design
GETTING DOWN TO BUSINESS
Centre for Sustainable Transport in India
the overall restructuring and reform of the auto rickshaw sector. A coordinated effort to make
the business safer, healthier and more financially secure for drivers would reduce accidents and
improve customer service. The reforms include driver education, regulated working hours,
stricter emissions standards, micro
The current scenario of the auto
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Auto Rickshaw Restructuring Project
operate at rates that serve as a low-cost mode of transport for low-
populations. Due to their lower weight and slower speeds, auto rickshaws cause less wear
tear of pavement, thus also lowering the costs of highway maintenance.
To push forward transport reforms that will ensure a sustainable, cost effective, commuter
polluting auto rickshaw system in urban areas.
Assessing issues and problems in the sector
Documenting past reforms, (conversion to CNG gas, 4 stroke engine etc)
Evaluating potential reform options for the future, and
Developing a restructuring plan for the auto-rickshaw sector that can be implemented
for target cities in India.
GETTING DOWN TO BUSINESS
Centre for Sustainable Transport in India (a member of the EMBARQ Network) has called for
the overall restructuring and reform of the auto rickshaw sector. A coordinated effort to make
the business safer, healthier and more financially secure for drivers would reduce accidents and
service. The reforms include driver education, regulated working hours,
stricter emissions standards, micro-financing opportunities and insurance policies.
The current scenario of the auto-rickshaw sector is illustrated in table below:
CCOUNTABILITY
Case Study Urban Development
Rickshaw Restructuring Project
January 2011
1
- and middle-income
populations. Due to their lower weight and slower speeds, auto rickshaws cause less wear-and-
nable, cost effective, commuter
Documenting past reforms, (conversion to CNG gas, 4 stroke engine etc)
rickshaw sector that can be implemented
(a member of the EMBARQ Network) has called for
the overall restructuring and reform of the auto rickshaw sector. A coordinated effort to make
the business safer, healthier and more financially secure for drivers would reduce accidents and
service. The reforms include driver education, regulated working hours,
financing opportunities and insurance policies.
rickshaw sector is illustrated in table below:
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ISSUE
Governance
Regulation
Unorganised Sector
Infrastructure
Vehicles
Operational inefficiencies
Source: Centre for Sustainable Transport/Presentation at Urban Mobility Exp 201, Amit Bhatt
Based on the present scenario, Embarq
in Rajkot, Gujarat:
The auto rickshaw sector lacks a governing body to implement policies that would
allow for effective public service delivery. There is also need to involve key
stakeholders in policy making, including the city government, manufacturers, unions,
and civil society. Therefore, Embarq
Agency to control the city operations of the sector. The agency will be looking into the
specifics of governance of the sector to establish an integrated urban transport system.
Due to poor inspection/maintenance service centres, Embarq
with government to provide adequate auto stands and servicing facilities for auto
drivers to ensure maximum customer satisfaction.
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Auto Rickshaw Restructuring Project
SPECIFICS
Lack of a multi-modal governing body
Inadequate involvement of key
stakeholders in policy making (city
government, manufacturers, unions,
citizens, civil society)
Many cities have restricted the number of
autos in the city but are unable to restrict
the growth of personalized vehicles
Lack of policies to drive formalization of
series (such as fleet companies)
Lack of employment benefits
Poor inspection/maintenance
Problems with financing
Lack of brand image and poor driver
behavioural practices
Lack of provision of adequate stands
Inadequate servicing centers for 4
engines
Problems with design (comfort,rain)
2 stroke engines still prevalent in many
cities
Significant empty trip making
Source: Centre for Sustainable Transport/Presentation at Urban Mobility Exp 201, Amit Bhatt
Based on the present scenario, Embarq-CST plans to implement the following reforms starting
The auto rickshaw sector lacks a governing body to implement policies that would
allow for effective public service delivery. There is also need to involve key
stakeholders in policy making, including the city government, manufacturers, unions,
ociety. Therefore, Embarq-CST will set up a Specialised Purpose Vehicle
Agency to control the city operations of the sector. The agency will be looking into the
specifics of governance of the sector to establish an integrated urban transport system.
to poor inspection/maintenance service centres, Embarq-CST plans to team up
with government to provide adequate auto stands and servicing facilities for auto
drivers to ensure maximum customer satisfaction.
CCOUNTABILITY
Case Study Urban Development
Rickshaw Restructuring Project
January 2011
1
modal governing body
Inadequate involvement of key
stakeholders in policy making (city
government, manufacturers, unions,
Many cities have restricted the number of
city but are unable to restrict
the growth of personalized vehicles
Lack of policies to drive formalization of
series (such as fleet companies)
Lack of employment benefits
Poor inspection/maintenance
Lack of brand image and poor driver
Lack of provision of adequate stands
Inadequate servicing centers for 4-stroke
Problems with design (comfort,rain)
2 stroke engines still prevalent in many
Significant empty trip making
CST plans to implement the following reforms starting
The auto rickshaw sector lacks a governing body to implement policies that would
allow for effective public service delivery. There is also need to involve key
stakeholders in policy making, including the city government, manufacturers, unions,
CST will set up a Specialised Purpose Vehicle
Agency to control the city operations of the sector. The agency will be looking into the
specifics of governance of the sector to establish an integrated urban transport system.
CST plans to team up
with government to provide adequate auto stands and servicing facilities for auto
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Workshops are to be arranged to address the beh
Safety training will also be given to drivers. Other workshops will held to encourage
auto drivers to use CNG and a 4 stroke engine to improve fuel efficiency and reduce
carbon emissions.
CST will cooperate with loc
auto drivers rights. Today, 90 out of 100 auto rickshaws are owned by private
financiers, resulting in auto drivers as a sort of bonded labourer. This has not
increased refusals, overcharging, a
livelihoods of 80,000+ auto rickshaw drivers and their families. Together, at least
4,00,000 lives stand have been adversely affected by these problems. Mission Mafia se
Mukti (Freedom from Mafia), an ini
has been started.
Efforts will be made to mobilise and organise auto drivers to form a union so that they
have greater bargaining power to demand their rights.
Advertisements on autos will be encouraged in order to attract additional revenues.
METHODOLOGY The OneWorld Research team conducted desk
restructuring project. Background information was gathered through online sources. For
further queries and questions, the team interviewed the senior transportation specialist of
Embarq-CST.
Key Stakeholders
The role of Embarq-CST will be programme facilitator and provider of technical assistance to
the Ministry of Urban Development, urban local bodes, auto drivers, and governing authority
(specialised purpose vehicle agency, manufacturers, auto rickshaw drive
It will also promote awareness on restructuring the sector to all key stakeholders and create a
platform for interfacing between policy makers, practitioners and citizens.
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Auto Rickshaw Restructuring Project
Workshops are to be arranged to address the behavioural malpractices of auto
Safety training will also be given to drivers. Other workshops will held to encourage
auto drivers to use CNG and a 4 stroke engine to improve fuel efficiency and reduce
CST will cooperate with local NGOs such as Nyaya Bhoomi in New Delhi that work for
auto drivers rights. Today, 90 out of 100 auto rickshaws are owned by private
financiers, resulting in auto drivers as a sort of bonded labourer. This has not
refusals, overcharging, and unpaid challans, but it has also jeopardised the
livelihoods of 80,000+ auto rickshaw drivers and their families. Together, at least
4,00,000 lives stand have been adversely affected by these problems. Mission Mafia se
Mukti (Freedom from Mafia), an initiative that seeks to free vehicles from financiers,
Efforts will be made to mobilise and organise auto drivers to form a union so that they
have greater bargaining power to demand their rights.
Advertisements on autos will be encouraged in order to attract additional revenues.
The OneWorld Research team conducted desk-based research on the auto rickshaw
restructuring project. Background information was gathered through online sources. For
further queries and questions, the team interviewed the senior transportation specialist of
CST will be programme facilitator and provider of technical assistance to
the Ministry of Urban Development, urban local bodes, auto drivers, and governing authority
(specialised purpose vehicle agency, manufacturers, auto rickshaw drivers union and citizens).
It will also promote awareness on restructuring the sector to all key stakeholders and create a
platform for interfacing between policy makers, practitioners and citizens.
CCOUNTABILITY
Case Study Urban Development
Rickshaw Restructuring Project
January 2011
1
avioural malpractices of auto-drivers.
Safety training will also be given to drivers. Other workshops will held to encourage
auto drivers to use CNG and a 4 stroke engine to improve fuel efficiency and reduce
al NGOs such as Nyaya Bhoomi in New Delhi that work for
auto drivers rights. Today, 90 out of 100 auto rickshaws are owned by private
financiers, resulting in auto drivers as a sort of bonded labourer. This has not only
nd unpaid challans, but it has also jeopardised the
livelihoods of 80,000+ auto rickshaw drivers and their families. Together, at least
4,00,000 lives stand have been adversely affected by these problems. Mission Mafia se
tiative that seeks to free vehicles from financiers,
Efforts will be made to mobilise and organise auto drivers to form a union so that they
Advertisements on autos will be encouraged in order to attract additional revenues.
based research on the auto rickshaw
restructuring project. Background information was gathered through online sources. For
further queries and questions, the team interviewed the senior transportation specialist of
CST will be programme facilitator and provider of technical assistance to
the Ministry of Urban Development, urban local bodes, auto drivers, and governing authority
rs union and citizens).
It will also promote awareness on restructuring the sector to all key stakeholders and create a
platform for interfacing between policy makers, practitioners and citizens.
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The Way Forward
The proposed restructuring project was f
by the Institute of Public Transport in New Delhi. The following is a summary of the analyses
presented, including a recap of benefits, issues to be addressed, and recommendations for the
future.
Recap of Benefits
Low cost mobility for lower income, elderly and disabled populations:
popular choice amongst the elderly, disabled and low income groups because they are
found to be convenient and low
School children to school buses
because they can navigate traffic quickly and with ease.
Causes least pedestrian fatalities
the least dangerous mode of transport.
Eco-friendly: Compressed Natural Gas (CNG) is an efficient fuel
cost and is a non-carbon emitter. Conversion from a two
allows for a light weight, fuel
kilometre, has a higher resistance to wear and tear and a longer lifespan due to a good
lubricating system.
Issues and Recommendations The study conducted found that due to the cap on supply, the auto
underused by citizens even with the high demand. Lifting the ban on auto manufacturing,
removing loan intermediaries and enhancing driver behavioural practices will
autos a sustainable means of urban transport. Another issue requiring attention is the lack of
infrastructure for auto services available. The government will need to properly design a
mapping of new auto stops. A governing body should be orga
for drivers. These laws will help to end the black market of auto permits and prevent local
financiers from harassing auto drivers.
By organising drivers into a union, building infrastructure and streamlining operations,
drivers and the greater community will benefit immensely. An effective promotional campaign
RANSPARENCY AND ACCOUNTABILITY
Knowledge Centre Promoted by Department of Administrative Reforms and Public Grievances
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Researched and documented by
OneWorld Foundation India
Auto Rickshaw Restructuring Project
The proposed restructuring project was first announced at the Urban Mobility Expo, organised
by the Institute of Public Transport in New Delhi. The following is a summary of the analyses
presented, including a recap of benefits, issues to be addressed, and recommendations for the
Low cost mobility for lower income, elderly and disabled populations:
popular choice amongst the elderly, disabled and low income groups because they are
found to be convenient and low-cost.
School children to school buses: Autos are in demand amongst school children
because they can navigate traffic quickly and with ease.
Causes least pedestrian fatalities: In contrast to buses and private vehicles, autos are
the least dangerous mode of transport.
: Compressed Natural Gas (CNG) is an efficient fuel-
carbon emitter. Conversion from a two-stroke to a four
allows for a light weight, fuel-efficient engine that is significantly less polluting per
ometre, has a higher resistance to wear and tear and a longer lifespan due to a good
ecommendations The study conducted found that due to the cap on supply, the auto-rickshaw sector has been
underused by citizens even with the high demand. Lifting the ban on auto manufacturing,
removing loan intermediaries and enhancing driver behavioural practices will
autos a sustainable means of urban transport. Another issue requiring attention is the lack of
infrastructure for auto services available. The government will need to properly design a
mapping of new auto stops. A governing body should be organised to initiate protective laws
for drivers. These laws will help to end the black market of auto permits and prevent local
financiers from harassing auto drivers.
By organising drivers into a union, building infrastructure and streamlining operations,
drivers and the greater community will benefit immensely. An effective promotional campaign
CCOUNTABILITY
Case Study Urban Development
Rickshaw Restructuring Project
January 2011
1
irst announced at the Urban Mobility Expo, organised
by the Institute of Public Transport in New Delhi. The following is a summary of the analyses
presented, including a recap of benefits, issues to be addressed, and recommendations for the
Low cost mobility for lower income, elderly and disabled populations: Autos are a
popular choice amongst the elderly, disabled and low income groups because they are
: Autos are in demand amongst school children
: In contrast to buses and private vehicles, autos are
it has a low operating
stroke to a four-stroke engine
efficient engine that is significantly less polluting per
ometre, has a higher resistance to wear and tear and a longer lifespan due to a good
rickshaw sector has been
underused by citizens even with the high demand. Lifting the ban on auto manufacturing,
removing loan intermediaries and enhancing driver behavioural practices will help to make
autos a sustainable means of urban transport. Another issue requiring attention is the lack of
infrastructure for auto services available. The government will need to properly design a
nised to initiate protective laws
for drivers. These laws will help to end the black market of auto permits and prevent local
By organising drivers into a union, building infrastructure and streamlining operations, auto
drivers and the greater community will benefit immensely. An effective promotional campaign
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will motivate commuters to use autos more frequently. This will surely increase auto drivers
incomes and standards of living.
This project envisions building citizen
improving the conditions for private motor vehicles. A well designed auto rickshaw sector will
be a significant departure from traditional urban transport practices in Indian cities, by pu
the needs of the majority who use public transport at the forefront of consideration.
References http://www.cstindia.org/
http://kafila.org/2010/03/24/auto
comments-are-misguided/
nyayabhoomi.org
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Auto Rickshaw Restructuring Project
will motivate commuters to use autos more frequently. This will surely increase auto drivers
incomes and standards of living.
ng citizen-centric urban transport solutions instead of focusing on
improving the conditions for private motor vehicles. A well designed auto rickshaw sector will
be a significant departure from traditional urban transport practices in Indian cities, by pu
the needs of the majority who use public transport at the forefront of consideration.
http://kafila.org/2010/03/24/auto-rickshaws-in-delhi-why-sheila-dikshit%E2%80%99s
misguided/
CCOUNTABILITY
Case Study Urban Development
Rickshaw Restructuring Project
January 2011
1
will motivate commuters to use autos more frequently. This will surely increase auto drivers
centric urban transport solutions instead of focusing on
improving the conditions for private motor vehicles. A well designed auto rickshaw sector will
be a significant departure from traditional urban transport practices in Indian cities, by putting
the needs of the majority who use public transport at the forefront of consideration.
dikshit%E2%80%99s-
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Appendix A- Interview Q1. Can you tell us if there is one initiative/reform out of the five that you have listed in your
presentation (change to CNG, private entrepreneurship
Advertising, direct fuel injection for 2 stroke engines) has bee
tell us why you think it has created or will create such a difference? If not, can you explain a bit
about each one?
2. Can you explain what PM10 is?
3. What is a two stroke engine? Why are 2
injection help?
4. Can you explain the role of each stakeholder in the auto rickshaw restructuring project? How
will the restructuring project benefit each one of them?
Civil society
ULBs (urban local bodies)
Transport Authority
Unions
Drivers/owners/renters
Manufacturers of autos
Users/passengers
5. How is EMBARQ, the WRI centre, involved in this project? What is their role?
6. Based on the present scenario of the auto rickshaw sector, how do you plan
of the challenges? * poor governance * regulation * unorganised sector * infrastructure
adequate stands etc. * vehicles
operational inefficiencies driving without pass
7. What is the current status of the project? Where is it currently operational
how far along has it come?
8. Please name the agencies that financed the project? What is the deadline for implementation?
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Auto Rickshaw Restructuring Project
Interview Questionnaire 1. Can you tell us if there is one initiative/reform out of the five that you have listed in your
presentation (change to CNG, private entrepreneurship pilot in pune & bangalore, SIAM
Advertising, direct fuel injection for 2 stroke engines) has been the most impactful? If so, please
tell us why you think it has created or will create such a difference? If not, can you explain a bit
2. Can you explain what PM10 is?
3. What is a two stroke engine? Why are 2-stroke engines a problem? How does direct fuel
4. Can you explain the role of each stakeholder in the auto rickshaw restructuring project? How
will the restructuring project benefit each one of them?
ULBs (urban local bodies)
Drivers/owners/renters
Manufacturers of autos
5. How is EMBARQ, the WRI centre, involved in this project? What is their role?
6. Based on the present scenario of the auto rickshaw sector, how do you plan
of the challenges? * poor governance * regulation * unorganised sector * infrastructure
adequate stands etc. * vehicles - problems in design(for rain etc), 2 stroke engines etc. *
driving without passengers
7. What is the current status of the project? Where is it currently operational
8. Please name the agencies that financed the project? What is the deadline for implementation?
CCOUNTABILITY
Case Study Urban Development
Rickshaw Restructuring Project
January 2011
1
1. Can you tell us if there is one initiative/reform out of the five that you have listed in your
pilot in pune & bangalore, SIAM-safe,
n the most impactful? If so, please
tell us why you think it has created or will create such a difference? If not, can you explain a bit
? How does direct fuel
4. Can you explain the role of each stakeholder in the auto rickshaw restructuring project? How
5. How is EMBARQ, the WRI centre, involved in this project? What is their role?
6. Based on the present scenario of the auto rickshaw sector, how do you plan to overcome each
of the challenges? * poor governance * regulation * unorganised sector * infrastructure lack of
problems in design(for rain etc), 2 stroke engines etc. *
7. What is the current status of the project? Where is it currently operational- which cities and
8. Please name the agencies that financed the project? What is the deadline for implementation?