The Uber Shuttle arrives in Delhi

Ride-hailing platform Uber on Monday, May 20, said that it has been granted an aggregator licence to operate buses under the Delhi Premium Bus Scheme.

The licence was granted by the transport department, Government of Delhi, which has become the first state to award a licence for bus operations.

Customers will be able to pre-book seats on their preferred route by choosing the ‘Uber Shuttle’ option on their app.

'Uber Shuttle will help put more people in one vehicle, and help ease traffic congestion and reduce carbon footprint. Through a new option for commuters and creating a new source of livelihood for drivers, we are confident that this initiative will prove to be a win-win for all,' said Amit Deshpande, head – Uber Shuttle, India, in a statement.

The company initially ran a pilot programme that was tested in the Delhi-NCR and has been operational in Kolkata since last year under an MoU (Memorandum of Understanding) with the West Bengal government. It also already runs in Mumbai and Bengaluru.

"The Government of Delhi stays committed to improving public transport services and diversifying available transportation options to streamline commuting for Delhiites," said an official from the transport department.

Each Shuttle vehicle will be able to accommodate 19–50 passengers, and will be operated by local fleet partners utilising Uber's ride-hailing technology.