TRANSPORTERS’ STRIKE CALLED OFF

PRESS NOTE

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A Meeting was held today by the Minister of State (Independent Charge) for Road Transport and Highways, Maj Gen (Retd) B C Khanduri with regard to calling off the strike by All India Motor Transport Congress (AIMTC). Following were present in the Meeting: -

(i) Shri Ram Naik, Minister of Petroleum and Natural Gas.

(ii) Shri Baba Saheb Dhumal, President, (AIMTC)

(iii) Shri Girdhar Gopal Gulati, former President, AIMTC.

(iv) The Secretary, Ministry of Road Transport and Highways.

2. It was agreed to call off the strike immediately after the following were agreed upon:

1. With regard to the levy of Toll Tax on four lane National Highways, the request of the AIMTC was accepted to have a Committee to examine the methodology of working out the quantum of toll to be charged for various types of transport per km. The Committee will have two representatives of AIMTC.
2. About the pricing of diesel, since the prices are being finalized by the Oil Companies after deregulation, Petroleum Minister would advise oil Companies to prepone their revision which is due on 30^th April, 2003 and also to appropriately reduce the price in keeping with the reduction in the international prices in oil market. The Oil Companies would also be advised to examine if the periodicity of change in prices every fortnight can be revised. The views of AIMTC will be taken into consideration by the Oil Companies.
3. As regarding the demand with regard to the imposition of excise duty of Rs.10,000/- on chassis, the matter would be referred to the Finance Ministry for consideration.
4. As regards age of the vehicles, the Ministry of Road Transport and Highways has consistently held the view that the age of a vehicle need not be the deciding factor but prescribed emission norms, fitness and road safety related norms.
5. As regards the Insurance Companies to be disciplined, Government has assured that guidelines of IRDA shall be strictly followed by the public sector insurance companies. Any specific cases of violation intimated by AIMTC will be investigated and those found guilty will be dealt with.
6. Regarding fixing of minimum freight rates for trucks, Central Government cannot fix minimum or maximum freight rates. The Motor Vehicles Act vests the power to fix such rates with the States. AIMTC can approach the States in this regard.
7. As regards VAT, Central Government has clarified that VAT does not apply to Services Sector and transport is part of the Services Sector.
8. As regarding overloading, overloading of vehicles is a violation of 114 of Motor Vehicles Act. Ministry of Road Transport and Highways takes a serious view of this. The checking of overloading falls under the purview of the respective States/UTs. All the States have been informed that this Ministry would be constrained to invoke the provisions of the Central Road Fund Act, 2000 and stop the grant that is being made available to them. Government will also take any further action considered necessary.
9. As regards the National Permit scheme, the States would be again advised to ensure that all the instructions issued by the Central Government are properly implemented. Various other alternatives to make the scheme efficient and smooth would also be considered.
10. Regarding Computerisation, Ministry of Road Transport and Highways have already initiated action two years ago. A standardized software for the purpose has been made available free of cost to the States. Backend computerization relates to computerization of existing data of Driving Licenses and Registration Certificates. More than 70 RTOs have been computerized. As regards the frontend computerization, several States have already taken the initiative in this regards.
11. About Amendment of Carriers Act, 1865, the proposal for amendment of the Act has already been accepted and new draft legislation is on the anvil.

3. It was also agreed that States would be advised to release those arrested in connection with the strike.