Himachal: Transport department set to cross Rs 1000 crore revenue mark this year, says Deputy CM Mukesh Agnihotri

ANI May 18, 2025 288 views

Himachal's transport department is set to surpass Rs 1000 crore in revenue this fiscal, marking a 17% growth. Deputy CM Mukesh Agnihotri announced plans for 1000 new vehicles and expanded EV charging infrastructure. The state earned Rs 37 crore from fancy number auctions and streamlined tax recovery. Road accidents decreased by 4.3% despite rising vehicle registrations.

"This year, we are confident that we will cross the Rs 1000 crore revenue mark" – Mukesh Agnihotri
Shimla, May 18: Himachal Pradesh Deputy Chief Minister Mukesh Agnihotri, who also holds the transport portfolio, said that the state's transport department has generated Rs 912 crore revenue last year, a growth of nearly 17 per cent.

Key Points

1

Transport revenue up 17% to Rs 912 crore

2

1000 new vehicles to boost employment

3

EV charging stations expand to 23 locations

4

Fancy number auctions earn Rs 37 crore

The government is "confident" that the transport department will cross the Rs 1000 crore revenue mark this fiscal, he said in a press conference on Saturday while sharing a detailed overview of the 'remarkable strides' made by the state's transport department over the past year.

"In the past one year, the Transport Department has generated revenue of Rs 912 crore," said Agnihotri, adding that this marks an increase of Rs 132 crore compared to the previous year , a growth of nearly 17 per cent. "This year, we are confident that we will cross the Rs 1000 crore revenue mark," he stated.

He informed that since the beginning of the new financial year on April 1, the department has already earned Rs 1.5 crore. "I want to brief you that during the last one year, 1.5 lakh new vehicles have been registered in Himachal Pradesh. At present, nearly 23 lakh vehicles are registered in the state," Agnihotri said.

The number of driving license holders has also risen, with one lakh new licenses issued in the past year. "There are now 16 lakh active driving license holders in the state," he noted.

The Centre has recognized the department's performance for two consecutive years, he said.

"Last year, we received a performance award with a grant of Rs 25 crore, and this year the award amount increased to Rs 28.71 crore. This reflects the efficiency of our department. I extend my congratulations to all our officers and staff," said the Deputy CM.

Announcing expansion plans, Agnihotri said, "We have decided to introduce 1000 new vehicles in the state. These will create opportunities for both transporters and unemployed youth."

He said of the 234 new public transport routes notified, 181 have already been claimed. The department is inviting private players to operate around 350 minibuses (18-seaters) and 422 large buses. "Around 3,000 new commercial vehicles are already operating in the state, and nearly 1000 more will soon be added," he said.

He also shared that since the formation of the current government, 26,812 new permits for buses and taxis have been issued. "People have started purchasing new buses, and 40 such vehicles are already on the roads," he added.

The auction of fancy vehicle numbers has emerged as a significant revenue stream. "So far, we have earned Rs 37 crore through e-auctions. Some individuals have paid as much as Rs 20 to 25 lakh for a single number," Agnihotri revealed.

The Deputy CM raised concerns about a central government policy that allows a bus to pay a one-time fee of Rs 3 lakh and operate anywhere in India. "This policy is problematic. While our HRTC buses are forced to pay Rs 18 to 20 lakh, outside buses can operate freely with just Rs 3 lakh. We have imposed a special road tax in response," he explained.

The state government has expressed its disagreement with the Centre over this issue. "We will build our own transport model and levy our own charges," he asserted.

The department has also given two years for defaulters to pay pending taxes. Despite increasing rates multiple times, only Rs 14 crore was recovered. "We've now stopped allowing vehicles without tax payments. They must now clear dues through the Excise Department," Agnihotri said.

The state collected Rs 23 crore from tax defaulters through regulatory enforcement. The Deputy CM added that all transport tax systems are now streamlined through an efficient online platform. "Though the Centre has different ideas, we'll stick to our own robust system," he remarked.

Agnihotri highlighted the progress in vehicle scrapping facilities. "Two scrapping centers have become operational - one in Una and another in Nadaun, Hamirpur. So far, nearly 3,000 vehicles have been scrapped, though 2,500 of them were scrapped outside the state due to lack of facilities earlier," he said.

Government vehicles will now have to be scrapped via an online portal, and private vehicles will be scrapped through negotiations.

Vehicle testing, earlier a manual process, is now shifting to an automated system. "We're establishing seven automated vehicle testing stations - four under the private sector in Bilaspur, Mandi, Nahan, and Nalagarh, and one in Mehrauli. These will be operational very soon," he said.

Agnihotri also discussed the implementation of the Smart Traffic Management and EV Infrastructure of Intelligent Traffic Management Systems (ITMS). "Through our intelligent systems, 2,571 traffic violators, especially over-speeding cases, have been identified and fined," he said.

The state is also investing in electric vehicle (EV) infrastructure. "We've already set up EV charging stations at 23 petrol pumps. In 2025, 88 new charging stations will be established by various companies," he said.

Six green corridors have been planned, and agreements are in place with three companies under a Public-Private Partnership (PPP) model for 41 new stations, mostly near tourism department hotels. "Work is underway to install charging points at 65 hotels - 11 in the first phase and 44 in the second. Additionally, 400 government locations have been identified for EV charging stations," Agnihotri informed.

As part of a welfare initiative, 39 commercial vehicles owned by unemployed youth are now being used in the government sector.

He also touched on road safety improvements. "While the number of vehicles has increased, road accidents have decreased by 4.3 per cent and accident-related deaths by 2.4 per cent. Road safety is our top priority," he said.

Black spots across the state are being identified for corrective measures. "This year will be transformational for the transport sector. We are introducing revolutionary reforms and new systems," Agnihotri added.

Reader Comments

R
Rahul K.
Impressive growth by Himachal's transport department! ₹1000 crore revenue is no small feat. The focus on EV infrastructure is especially commendable. Hope other hill states learn from this model. Just wish they'd improve road conditions in rural areas too.
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Priya M.
Those fancy number plate auctions show how people love status symbols! ₹25 lakh for a number is crazy money 😲 But if it helps state revenue, why not? Smart move by HP govt. Also good to see job creation through new transport routes.
A
Arjun S.
While the numbers look good, I'm concerned about the center-state tussle over transport policies. Uniform national rules are needed, but states should have some flexibility. Himachal's special road tax seems justified given their terrain challenges.
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Neha T.
As someone who frequently visits Shimla, I've noticed better traffic management recently. The automated testing and ITMS systems are much needed. But please improve public transport frequency - still too many private vehicles on those narrow mountain roads!
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Sanjay P.
Good to see focus on road safety with decreasing accident rates. But what about pollution checks? With 23 lakh vehicles, air quality in valleys must be monitored strictly. The EV push is timely for our fragile Himalayan ecosystem. Jai Himachal! 🙏
K
Kavita R.
The transport department's success is praiseworthy, but I hope they use part of this revenue to make travel safer for women. More CCTV in buses, women-only transport options, and better patrolling would make these impressive numbers truly meaningful.

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