Himachal Moves to End Entry Fee for Tourist Vehicles, Eases Travel Costs
In a significant move aimed at reducing the financial burden on transport and tourism operators, the Himachal Pradesh government has proposed doing away with the composite fee currently charged on commercial and tourist vehicles entering the state from other parts of the country.
The proposal comes through a draft amendment to the Himachal Pradesh Motor Vehicles Rules, 1999. The government has invited objections and suggestions from the public within 30 days before the amendment is finalized.
If approved, commercial and tourist vehicles operating with valid All India Permits will no longer have to pay the composite fee while entering Himachal Pradesh. However, the Special Road Tax (SRT) will continue to remain in force.
At present, operators of tourist vehicles from other states are required to pay a composite fee based on the size and type of vehicle. Luxury Volvo and Mercedes buses pay ₹5,000 per day, while larger buses pay ₹3,500. Smaller tourist vehicles are charged anywhere between ₹200 and ₹500 per day.
The fee is collected at state entry points, though operators also have the option of making payments online. Existing rules additionally provide for a hefty penalty of up to five times the prescribed fee for vehicles found operating without making the required payment.
The proposed amendment seeks to remove Rule 69-A from the existing rules, which currently governs the collection of the composite fee from tourist vehicles holding All India Permits issued by transport authorities of other states.
The government believes the move could provide relief to a large number of transport operators, especially considering that an estimated one lakh to one-and-a-half lakh commercial vehicles enter Himachal Pradesh every year. Industry stakeholders expect the change to lower operating costs and make travel into the hill state more convenient.
The draft notification has been issued by Additional Chief Secretary (Transport) Omkar Sharma under the provisions of the Motor Vehicles Act, 1988. Once the consultation process is completed and the amendment receives final approval, the composite fee system for out-of-state tourist and commercial vehicles will come to an end.
The proposal signals the state’s effort to simplify transport regulations while maintaining revenue collection through the Special Road Tax, striking a balance between ease of travel and road infrastructure funding.
