Government may hike fee of transport department services in TN to shore up revenue

The date on which the revised fee will take effect will be notified by the end of August, sources said.

Published: 22nd August 2022 05:03 AM  |   Last Updated: 22nd August 2022 05:03 AM   |  A+A-

The Benz Circle-II flyover, which was inaugurated by Union Minister for Road Transport Nitin Gadkari in Vijayawada on Thursday.

Image used for representational purpose only. (Photo | EPS)

Express News Service

CHENNAI:  Faced with a fund crunch, the State government has decided to hike the fee for several transport department services by up to 10 times. Fees for these services were last revised between 2006 and 2007.

But motor vehicle tax, Learners Licence Registration (LLR) fee, driving licence fee, and a few other fees and taxes that are major revenue sources of the department will be unchanged, sources said. The State transport department recently issued a gazette notification on the draft amendments carried out in Tamil Nadu Motor Vehicle Rules, 1989, for enhancing the fee for services. The date on which the revised fee will take effect will be notified by the end of August, sources said.

Tamil Nadu government’s total revenue through green tax, vehicle registration, motor vehicle tax and fee and other services stood at Rs 5,271.9 crore during 2021-22. The proposed revision may enhance the State’s revenue by a few crores, official sources said. According to the notification, the fee for revocation of CFX notices issued to vehicles that fail fitness tests has been increased from Rs 30 to Rs 500.

Since 1,857 CFX notices were issued during 2021-22, at least Rs 9 lakh additional revenue may be generated through the hike. Vehicles can undergo fitness tests only after revocation of CFX notices, sources said. Vehicles cannot be operated without a valid fitness certificate. Similarly, vehicles registered in Tamil Nadu will be charged Rs 500 fee for permission to obtain fitness certificates from other states. Hitherto, no fee was charged for the NOC.  “The fee revision will marginally enhance the revenue without having any major impact on motorists,” said a transport department official. 

No rationale for hiking fees, says lorry owners’ federation

FEE for authorising the operation of emission testing centres may be hiked from Rs 1,000 to Rs 5,000 and renewal fee for them may go up from Rs 500 to Rs 3,000. For delay in applying for renewal of testing centre approval, Rs 200 fee will be collected additionally against the existing fee of Rs 100.

“Eventually, the hike in authorisation and renewal fee for emission testing centres will only be transferred to motorists,” said a proprietor of an emission testing centre in Saidapet. Similarly, the fee for temporary registration or extension of validity of temporary registration may go up from Rs 50 to Rs 200.

Fee for certified copy of documents for verification by banks will go up from Rs 75 to Rs 400. Additionally, the tax of Rs 50 to Rs 200 being collected for each service will continue. A new fee of Rs 250 may also be collected for issuing duplicate fitness certificates.

S Yuvraj, president, Tamil Nadu State Sand Lorry Owners’ Federation (TNSSLF), said, “Steep increase in fee for services at RTOs will eventually lead to malpractices during enforcement of rules. When all services are being provided online, there is no rationale for hiking the fees.”

Order may be issued by end of August 
A gazette notification was issued by govt recently on amendments carried out in MV rules for enhancing the fees. The date on which new fees will take effect will be notified by August-end. 


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