The Hindu Business Line : Transporters call off strike; govt to consider demands

New Delhi, Jan. 12 The All India Motor Transport Congress (AIMTC), a body of transporters, on Monday called off its eight-day-old strike. This was after the Government decided to form a committee to look into some of its demands like those relating to the national permit system and motor vehicle taxes.

The decision was taken following meeting between the Union Transport Minister, Mr T.R. Baalu, and State Governments.

On January 5, too, the Ministry had offered to form a committee to look into AIMTC’s demands, but the body had not agreed to withdraw the strike at that time.

Regarding the other demands like withdrawal of service tax notices issued to some transporters, abolition of tax deducted at source from truck freight payments, the Ministry said it will take up the matter with the departments concerned. On the issue of reducing the price of diesel by Rs 10 a litre, the Minister said that a decision would be taken at the highest level.

“The Government has agreed to consider our demands and also assured us release of our arrested leaders within a day or two after taking legal advice,” AIMTC’s former President Mr Gurinder Pal Singh, said. The body seemed agitated on the arrest of its leaders.

PERMIT SYSTEM

AIMTC had sought a single-national permit regime in the country. At present, commercial vehicles have the option to take ‘permits’ for up to two States, apart from the home State.

When they pay authorisation fee for three States (at Rs 5,000 a State a year), over and above the home State, commercial vehicles get a ‘national permit’ to ply across the country.

The truckers said that they face problems as officials at check posts of various State Governments question the authenticity of the permit papers, leading to corrupt practices. The Road Transport Ministry Secretary, Mr Brahm Dutt, had earlier stated, “In principle, we support this matter. But, the issue is in the domain of State Governments.”

AIMTC had also demanded that the national permit fee be reduced to Rs 1,500 per state against the current level of Rs 5,000. “The authorisation fee of Rs 5,000 per state was fixed in 1994-95 and has not been revised upwards since then,” said Mr S.P. Singh, Senior Fellow, IFTRT, a transport research body.

“For the home State, the commercial vehicles usually have to pay about Rs 6,500-8,500 depending on the capacity. This includes registration fee, intra-state permit, road tax and fitness charges,” Mr Singh said.

The committee will be formed under the Chairmanship of Secretary, Road Transport and Highways, with representatives from state finance and transport departments, and four members of AIMTC. The committee has to submit its report within eight weeks.