Taxi and auto aggregator Ola on Tuesday introduced electric rickshaws (e-rickshaws) on its platform, with the aim of steering rickshaw pullers to become driver-entrepreneurs and enhancing affordable mobility in smaller cities and towns.

The service on the Ola mobile application was launched by Prime Minister Narendra Modi at the Stand-Up India event to promote entrepreneurship among economically and socially weaker sections.

In partnership with microfinance institution Bhartiya Micro Credit (BMC), 5,100 Ola e-rickshaws will be launched and deployed across Delhi, Gurgaon, Noida, Faridabad and Ghaziabad. This will be scaled up in the coming months to small towns and Tier-III cities across the country, it said.

The company will charge a 10 per cent commission from the rickshaw owners. It will, however, not charge any convenience fee from users as is the case with auto-rickshaws.

While the fare will differ from city to city, users will have to pay Rs. 25 for the first two kilometres and Rs. 8 for every subsequent kilometre travelled. Payment can be made in cash or by using Ola Money, the company’s wallet service.

“Economic growth, rapid urbanisation and environmental concerns are driving the need for innovative mobility solutions across the country. The transportation needs of users in smaller towns and sustainable alternatives for cycle rickshaw pedallers will be solved with the introduction of e-rickshaws on the Ola app,” said Pranay Jivrajka, Chief Operating Officer of Ola.

The e-rickshaw will be affordable, environment-friendly and convenient to hail, he said. “We believe this will touch the lives of hundreds of millions of citizens as well as the livelihoods of millions of driver-entrepreneurs, taking us closer to our mission of mobility for a billion people,” he added.

Apart from employment, Ola and BMC will also set up and run skill development centres in these towns to enable continuous skilling and training for thousands of rickshaw driver-entrepreneurs.

Through the smart and easy-to-use Ola app, rickshaw driver-entrepreneurs and customers can leverage the convenience of technology and participate in the country’s digital revolution, the company said.

Ola’s range of mobility offerings has expanded across different price points and now includes the ultra-affordable Ola Micro, the flagship Ola Mini, the premium wi-fi-enabled Ola Prime, Ola Share and Ola Shuttle.