Govt to set up inter-ministerial group for quadricycles

The automobile industry seems to be divided on the need to create a new category of vehicles or quadricycles which is pegged as a four-wheeled three-wheeler. The committee under ministry of transport on Thursday, failed to reach a consensus. The committee's meeting was attended by many auto companies including industry body SIAM. Undeterred the government has now decided to form a high-level inter-ministerial group (IMG) to take a call on this issue. CNBC-TV18’s Ronojoy Banerjee reports.

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In July last year, the government gave its approval that there is a need to at least explore a new category of vehicles and right from then, it has been a very divisive issue. There was Tata Motors on one hand who felt that the creation of a four-wheeled three-wheeler or a quadricycle could be a retrograde step and Bajaj Auto on the other feeling that there is clearly a need for such vehicles.
The Tyagi Committee that was set-up back in August last year, the recommendations were sent to the ministry of roads and transport only last week and the meeting on Thursday was to deliberate over all the findings and the recommendations of that committee. According to sources, there was once again a total breakdown.
There was no consensus between industry bodies. Tata Motors and Bajaj Auto are having different opinions. Having little choice, the government has decided to form IMG which will be headed by the secretary of transport.
It will also have secretary of heavy industry ministry and will have representation from International Center for Automotive Technology (iCAT) and Automotive Research Association of India (ARAI). Whatever notification they choose to introduce in the existing Motor Vehicle Act will be sent to the law ministry for vetting.
In the IMG there cannot be any industry body or any company that will be represented. So, it is clearly government’s attempt to bring senior government officials to iron out differences. Whatever the IMG decides, will only have to be sent to the law ministry after which it might become law. So, one way of looking at it is that it is fast-tracking of the quadricycles. Sources indicate of a meeting as early as next week.