The State government will consider reducing the fees charged at Regional Transport Offices (RTO) across Karnataka based on the demands of commercial vehicle owners and truck operators, who are currently on an indefinite strike in southern India against the proposed hike in third party insurance rates as well as other proposals by the government.
On Thursday, the strike was partial across the southern states of Karnataka, Andhra Pradesh, Telangana, Tamil Nadu, Kerala and the Union Territory of Puducherry, which have around 22 lakh registered commercial vehicles. With the main demand for a rollback in the hike for third party insurance rates not met on Friday, several unions said they would join the strike from April 3.
The strike includes truck operators, commercial bus operators, cabs and taxi services. The main demand of commercial vehicle operators is a rollback in third party insurance premium rates for which a 50% hike has been proposed from April 1. “We will be joining the strike from April. This will affect passenger transport, the taxi industry and also cab services for companies. While we cannot exit the contracts we have already entered, we will not accept any new bookings from Monday,” said K Radhakrishna Holla, president, Bangalore Tourist Taxi Operators Association (BTTOA).
G. R. Shanmugappa, General Secretary, South India Motor Transport Association (SIMTA), said that on Thursday, the State government had agreed to consider some of their demands. “These are policies that the State can implement. They include looking at reciprocal agreements with other states in South India where Karnataka-registered trucks will not have to pay tax when they enter other States. The other demand was to reduce the hike in RTO charges which the State is empowered to do,” he said.
Mr. Shanmugappa added that if the Union government failed to act take steps to withdraw the third party premium in writing, lorry, maxi cab and tourist taxi owners will not operate their vehicles. He said from April 3, supply of essential commodities such as foodgrain, vegetables, gas and petrol will be likely to be affected as the Gas, Petrol tankers, Maxi cab and Tourist Taxies of all Southern States are participating in strike. He also appealed to the State government to withdraw toll fees that is being collected on 19 State highways.
However, the strike will continue till the Union government rolls back the hike in third party insurance premiums, Mr. Shanmugappa said. With the Insurance Regulatory Development Authority of India (IRDAI) refusing to budge on the issue, the strike is likely to affect the transport sector across all southern states from Monday.
