New Delhi – Deputy Chief Minister Mukesh Agnihotri proposed significant reforms to address challenges in Himachal Pradesh’s transport sector during the national-level meeting of Transport Ministers and the 42nd Transport Development Council meeting in New Delhi on Tuesday.

Agnihotri raised concerns about the financial burden imposed by the Vehicle Scrapping Policy, highlighting the unique difficulties faced by Himachal due to its mountainous terrain and sparse vehicle population. These factors make the scrapping process both costly and logistically complicated. To alleviate this, Agnihotri requested an extension of the deadline for availing Special Central Assistance (SCA) for capital investment until March 31, 2025. He also suggested providing scrapping incentives as grants instead of loans to ease the financial pressure on the state.

He also pointed out that Himachal Pradesh would need to scrap over 7,000 government vehicles, which could severely impact the functioning of key state departments. Agnihotri called for a more favorable financial assistance structure to ensure smooth implementation of the scrapping policy. Union Minister for Road Transport and Highways, Nitin Gadkari, assured that the interests of hilly states like Himachal would be considered.

Agnihotri further raised the issue of All India Tourist Permit (AITP) buses operating as stage carriage buses in Himachal Pradesh, where there is a significant tax disparity between AITP and stage carriage buses. He urged the central government to level the playing field to ensure fair competition and protect the State Transport Undertakings (STUs).

Additionally, Agnihotri highlighted the misuse of bus stand space by AITP private operators, which allows them to function as stage carriage operators. He called for clear regulations to curb this practice and ensure fair competition. Gadkari assured that the matter would be addressed in the upcoming meeting of the Committee of All State Secretaries.

The Deputy Chief Minister also requested that the incentive for scrapping non-government vehicles be applicable to any Registered Vehicle Scrapping Facility (RVSF), as no such facility is currently operational in Himachal Pradesh. Gadkari acknowledged the issue as genuine and invited Agnihotri to take it up separately for resolution.

The meeting allowed Agnihotri to present key concerns and advocate for reforms that would address the specific needs of Himachal Pradesh’s transport sector, ensuring smoother implementation of policies and fair competition in the industry.