Tamil Nadu - Madurai   

Government urged to waive M.V. Tax

Staff Reporter

For State Transport Undertakings

MADURAI : The Tamil Nadu Government Transport Corporation Staff Federation has urged the Chief Minister, M. Karunanidhi, to waive Motor Vehicles Tax to buses owned by State Transport Undertakings (STUs).

In a memorandum sent to the Chief Minister, its State general secretary, T. Thirumalaisamy, said STUs were shelling out Rs. 140 crore every year towards payment of M.V. Tax.

In addition to Rs. 91 crore as interest for loans obtained from various funding agencies, the STUs were paying Rs. 166 crore as Sales Tax for diesel purchased every year.

Other major expenses included Rs. 210 crore towards social obligations (free bus passes to schoolstudents) and Rs. 20 crore by way of toll gate fee to various local bodies all over the State.

While the diesel price was revised on 21 occasions during the last five years, the cost of spare parts went up by 10 per cent every year.

Additional trips and extension of routes to private operators violating the `scheme route' conditions were causing a huge loss to STUs.

These losses were making sustenance of operations and disbursement of salary to the staff difficult.

A majority of operations were service-oriented in non-profit routes that did not get full seating capacity, Mr. Thirumalaisamy said.

The Government should provide 100 per cent reimbursement to social obligations such as free passes to students, freedom fighters and others.

The outstanding loans in different banks and financial institutions should be waived, he said and urged Mr. Karunanidhi to take steps by considering the livelihood of several lakhs of employees working in the transport sector.

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