Now, RTAs to fix freight charges

Tribune News Service

Chandigarh, June 28

The Punjab Government is all set to bring in a major industrial reform by breaking the highly politicised truck union cartels across the state. Soon, the unions will be divested of the monopoly in fixing the tariff, which will be done by the government.

The government has decided to dissolve all 134 truck unions across the state and give powers to the four regional transport authorities to fix tariff for routes falling within their jurisdiction.

The rates/tariff will be notified and no one will be allowed to charge more than the notified tariff. The violation by any truck operator/driver in charging the tariff will invite penal action.

Little wonder that these truck unions went on a strike today, after the government made its intentions to dissolve the unions clear. Supported by the CPM, SAD and AAP, these unions also gave memorandums to the SDMs, saying that the unions may not be dissolved.

However, the government is adamant to disband the unions and fix the freight charges that can be charged for specific distances. A senior government functionary told The Tribune that by fixing the freight charges, the industry would save as much as Rs 1,500 crore.

Breaking this truck union cartel has been a long standing demand of the industry, but because of the political patronage enjoyed by these unions, no one has ever dared to dissolve these or take any remedial action. Being a highly cartelised business, these unions are known to fix freight at their will and no trucks, other than those registered with an area’s truck union, were allowed to operate.

Senior officials in the Transport Department said the new policy would be framed and notified within a month. There are 93,000 trucks registered with the 134 truck unions in the state. The government now expects that many youths can start a transport business and the number of trucks have the potential to go up to 2,00,000.

Charging more to invite action

• The government has decided to dissolve all 134 truck unions across the state and give powers to the four regional transport authorities to fix tariff for routes falling within their jurisdiction
• The rates/tariff will be notified and no one will be allowed to charge more than that. The violation by any truck operator/driver in charging the tariff will invite penal action