ISBT Shimla Management Seeks Government Takeover, ₹82 Crore Demand Under Review

The Himachal Pradesh cabinet will soon deliberate on the proposed takeover of the Inter-State Bus Terminal (ISBT) in Shimla. The operating company has requested the government to assume control of the terminal, citing financial difficulties, and has demanded ₹82 crore in return for exiting the agreement.

Deputy Chief Minister Mukesh Agnihotri has sought a detailed report from Rohan Chand Thakur, Managing Director of the Himachal Pradesh Bus Stand Management and Development Authority (HPBSMDA). The report will include an investigation into the project’s timeline, from inception to completion, and the terms of its lease. Initially signed for 17 years, the lease was later extended to 51 years, raising questions about its financial and operational structure.

Municipal Tax Issues Add Complexity

The Shimla Municipal Corporation (MC) has also flagged pending property taxes worth ₹6.5 crore owed by the ISBT operating company. Despite multiple reminders, the taxes remain unpaid. The MC has now brought the matter to the government’s attention, adding a layer of financial dispute to the ongoing proposal.

Other Bus Terminals Under Review

The cabinet will also discuss financial and legal issues related to the McLeodganj and Kangra bus stands, where arbitration rulings have directed the government to pay ₹25 crore. The Deputy Chief Minister has asked the HPBSMDA to provide full details of these cases for review.

ISBT Shimla, a critical transport hub developed under a public-private partnership, was envisioned to modernize travel infrastructure in the state. However, mounting financial and operational issues have led the current management to seek government intervention.

The cabinet’s decision on the ISBT Shimla takeover will significantly impact the terminal’s operations and broader transport policy, with implications for infrastructure efficiency and fiscal responsibility.