Delhi Government notifies Scheme for Premium Buses

On 20-11-2023, the Delhi Government notified the Delhi Motor Vehicles Licensing of Aggregator (Premium Buses) Scheme, 2023 applicable to all premium buses under a valid Aggregator license granted by the Transport Department of Delhi, to operate within National Capital Territory of Delhi (‘NCR’). The provisions came into force on 20-11-2023.

Key Points:

1. “Premium Bus” means a luxury public service vehicle having seating capacity of not less than 9 passengers with the following features: Air conditioning, Wi-Fi, GPS, CCTV, Panic Button, 2*2 seats, Reclining seats (optional).

2. Eligibility for grant of Aggregator License:

   • A fleet of 25 premium buses must be made operational within 90 days of the grant of license.

   • The corporate or branch office should be in NCR.

   • Mandatory experience for at least 3 years required.

   • It must be ensured by the License holder that the buses have a Contract Carriage permit in order to regulate the operation and to maintain the discipline on road.

   • The engagement of the buses will be at the liberty of the license holder confined to decide the size of the buses in its fleet (Mini / Midi / Standard Size) as per Bus Code of Automotive Industry Standards (AIS) 052.

3. Procedure for grant/ renewal of license:

   • Application to be made in Form 1 accompanied by proof of payment with prescribed fee and Interest free security deposit.

   • List of Documents to be submitted-

     • List of vehicles that are proposed to be engaged with a true copy of valid permit.

     • Proof of adequate parking spaces.

     • Lease agreement containing specific provision of transfer of effective control and possession in favour of license holder for at least 1 year, at time.

     • Copy of Registration Certificate and Insurance of each bus

     • Fitness Certificate of vehicles.

     • Possession of Contract Carriage permit.

   • The license will be valid for 5 years.

   • Renewal of license- not automatic and not available as a matter of right. It will depend on satisfactory compliance and taking into account the safety records, consumer satisfaction, and overall quality of service of the license holder.

   • Application of renewal should be made 90 days before the date of its expiration.

   • The renewed license will be valid for another 5 years from the expiry of the license.

4. Bus Que Shelters: The buses engaged under the scheme will be allowed to pick and drop passengers from the notified queue shelters for which a requisite fee have to be paid to Delhi Transport Infrastructure Development Corporation Limited.

   Exception: For pick and drop of passengers from a destination other than the notified bus stop, prior approval from competent authority under the scheme is mandatory. In case of eventuality the order of competent authority will be final.

5. Penalty for Violation of Conditions/ Obligations: In case of violation, license holder will penalised according to Section 193 of the Motor Vehicles Act, 1998,

   • For first offence- fine of Rs. 1000

   • For second/ subsequent offence- imprisonment which may extend to six months, or with fine of Rs. 2000, or both.

   • Whoever engages himself as an aggregator in contravention of the provisions of Section 93 or of any rules made thereunder will be punishable with a fine of up to Rs. 1 lakh but will not be less than Rs. 25000.

   • Whoever, while operating as an aggregator contravenes a condition of the licence granted under sub-section (1) of Section 93, not designated by the State Government as a material condition, will be punishable with a fine of Rs. 5000.

   • In case of failure to operate/maintain, the minimum number of buses required under the scheme within 90 days from the date of grant of license, the entire security deposited will be forfeited after giving reasonable opportunity of being heard.

6. Suspension and Cancellation of License:

   • Competent authority can Suspend or Cancel license for maximum 6 months.

   • Instead of Suspension/ Cancellation, the competent authority can also decide to recover from the license holder an amount equivalent to one half of the security deposit that may be varied with respect to the number of buses engaged by the license holder by depositing the security money.

7. Powers and Responsibilities of Government of NCR:

   • It can demand any information and documents from the Aggregator to ensure compliance with the Scheme.

   • It will have the power to conduct a search and investigation of the Aggregator’s premises for effective implementation of the Scheme.

   • It will have to provide access to the VAHAN and SARATHI portal operated by the Ministry of Road Transport and Highways, Government of lndia to enable the Aggregator to update the details of vehicles and Drivers integrated with the App.

   • It will have to ensure confidentiality and secrecy of the documents and information provided by the Aggregator.

8. Forms:

   • Form 1- Application for grant or renewal of licence for Aggregator under The Delhi Motor Vehicles Licensing of Aggregators (Premium Buses) Scheme, 2023

   • Form 2- Licence for Aggregator of premium buses under The Delhi Motor Vehicles Licensing of Aggregator (Premium Buses) Scheme, 2023.