During the 42nd Transport Development Council meeting in New Delhi on Tuesday, Himachal Pradesh’s Deputy Chief Minister, Mukesh Agnihotri, proposed several reforms to ease the difficulties faced by the state’s transport sector. Agnihotri addressed concerns related to the Vehicle Scrapping Policy, emphasizing the unique challenges posed by Himachal’s mountainous terrain and small vehicle population, which make the process both financially burdensome and logistically complex.

One of the primary issues Agnihotri raised was the financial strain the scrapping policy imposes on the state. He requested an extension for the deadline to avail Special Central Assistance (SCA) for capital investment until March 31, 2025. Additionally, he proposed converting the scrapping incentives into grants rather than loans to relieve the financial pressure on Himachal. The Deputy CM also highlighted the state’s need to scrap over 7,000 government vehicles, which could significantly disrupt the functioning of key state departments. To mitigate these effects, he called for more favorable financial assistance arrangements.

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Union Minister for Road Transport and Highways, Nitin Gadkari, responded positively, assuring Agnihotri that the concerns of hilly states like Himachal would be taken into account during policy implementations.

Agnihotri also raised the issue of tax disparities between All India Tourist Permit (AITP) buses and stage carriage buses in Himachal. He urged the central government to level the playing field to protect the interests of the State Transport Undertakings (STUs) and ensure fair competition. Furthermore, Agnihotri pointed out the misuse of bus stand space by private AITP operators, who often function as stage carriage operators. He called for clearer regulations to address this issue.

In another key point, Agnihotri proposed that the incentive for scrapping non-government vehicles should be extended to any Registered Vehicle Scrapping Facility (RVSF), as no such facility currently exists in Himachal. Gadkari acknowledged the concern and invited Agnihotri to take the matter up for further resolution.

The meeting provided a platform for Agnihotri to voice Himachal Pradesh’s transport challenges, advocating for reforms tailored to the state’s unique needs. These proposals aim to smoothen the implementation of transport policies while ensuring fair competition and financial feasibility for the state.

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