Deputy Chief Minister Mukesh Agnihotri raised concerns about the financial burden of implementing the vehicle scrapping policy during the 42nd meeting of the Transport Development Council in New Delhi on Wednesday. The meeting was presided over by Union Transport Minister Nitin Gadkari.
Agnihotri highlighted the challenges posed by Himachal Pradesh’s unique topographical conditions and sparse vehicle population, which make vehicle scrapping both costly and cumbersome. He urged the Central government to extend the deadline for availing Special Central Assistance (SCA) for capital investment to March 31, 2025, and to provide incentives to the state for scrapping old vehicles.
“The state government will need to scrap over 7,000 government vehicles, which will significantly impact the functioning of key departments. Implementing the policy will require substantial financial assistance from the Central government,” said Agnihotri.
He also requested an extension of the deadline for seeking incentives under the Accelerated Transition Scheme (ATS) for vehicle scrapping from January 31 to March 31. Additionally, he called for a level playing field for all states in operating All India Tourist Permit (AITP) buses, pointing out disparities in tax structures between AITP and state carriage buses.
Union Minister Nitin Gadkari assured the attendees that the Central government would carefully examine the concerns raised by Himachal Pradesh and other states and address them in the next meeting of the Ministry of Road Transport and Highways (MoRTH).