The Confederation of Indian Industry (CII) organised a roundtable on 'Building Last Mile Connectivity: Flexible, Affordable, Sustainable Solutions,' bringing together leaders from various sectors. The discussion focused on ways to create a more inclusive and sustainable mobility ecosystem in India, with particular emphasis on public-private partnerships to improve last-mile connectivity.
Harsh Malhotra, Minister of State, Ministry of Road Transport and Highways, highlighted the critical role of collaboration between the government and private sector in improving last-mile connectivity for passengers and businesses. He pointed out that new mobility solutions, such as app-based bike taxis and on-demand auto rides, are becoming popular among commuters, significantly enhancing first- and last-mile transport options.
A key focus was on the potential of smart mobility solutions like bike taxis and how public-private partnerships could help address the growing demand for seamless, affordable transportation. Malhotra noted, “Well thought out partnerships between the government and private sector can help reduce traffic congestion and create livelihood opportunities for millions.”
Panellists from across sectors spoke on the need for innovative mobility solutions to generate employment, reduce traffic congestion, and lower pollution levels. The discussion also brought attention to the sustainability challenges faced by India’s transport sector, with a strong emphasis on policies that balance the need for green transition with job creation.
Fleet partners from companies like Shadowfax, Rapido, and Uber shared insights into the difficulties faced by bike taxi drivers. The lack of commercially viable electric two-wheelers to replace internal combustion engine (ICE) motorcycles emerged as a primary concern. Additionally, the panellists highlighted the disparity in electrification timelines between delivery service providers and passenger transport, which is hindering the broader transition to electric vehicles.
According to a KPMG report titled “Unlocking the Potential of Bike-Taxis in India”, motor vehicle drivers make up the second-largest segment of gig workers in India, representing 20% of the total gig workforce in the 2020 financial year. India is also the fourth-largest automotive market and the second-largest two-wheeler market globally, underscoring the importance of smart, sustainable mobility solutions for the country's future.
While the discussion highlighted the need for innovation and collaboration, the challenges faced by gig workers and fleet operators raised concerns about whether the current pace of electrification and policy support will be sufficient to meet future needs. For the industry to thrive, panellists agreed that targeted policies and incentives will be necessary to accelerate the green transition while ensuring employment opportunities and sustainable growth in the mobility sector.