Yog Raj Sharma
The North News
Shimla, December 19
The Himachal Road Transport Corporation (HRTC) has decided to remove 500 ageing buses from its fleet within the next two months and expedite long-pending payments to employees and pensioners, following a meeting of its Board of Directors. Addressing a press conference in Shimla, Deputy Chief Minister Mukesh Agnihotri said the two-day board meeting discussed more than 100 agenda items, with a strong focus on financial stability, employee welfare and fleet modernisation.
He said the Old Pension Scheme (OPS) has now been implemented in HRTC, bringing 9,099 employees under its ambit, out of a workforce of more than 10,000. Pending payments dating back to 2016 have been cleared for over 170 retired employees and 696 pensioners aged above 74, with ₹23 crore released. In addition, pensions and commutation dues of 222 pensioners have been settled, and ₹29 crore transferred directly to pensioners’ bank accounts.
The corporation has also released ₹34 crore towards leave encashment pending since April 2020 under the DGR framework. A 45% dearness allowance hike has been implemented, along with arrears worth ₹15.5 crore. Agnihotri said arrears related to a further 3% dearness allowance up to September 2025 would be paid by January 31, with ₹5.07 crore already released.
Several operational decisions were also announced. The distance limit for night-out allowance has been scrapped, daily allowance raised from ₹410 to ₹450, and 78 piecemeal workers approved for contractual engagement under the OTS. Regular salaries for this month have been released, though some pension payments are still pending.
On fleet policy, the Deputy Chief Minister said HRTC has revised its criteria for retiring buses. Instead of relying only on age or distance, buses delivering less than 2.5 passenger-kilometres per litre will now be phased out. Vehicles older than nine years will be assessed on age and maintenance costs, with those incurring excessive service expenses earmarked for withdrawal. Under this policy, 500 old buses will be removed within two months.
HRTC plans to procure 297 electric buses and has been directed to issue tenders for 250 diesel buses. Tenders will also be floated for 100 mini-buses and 100 tempo travellers. The government has approved the installation of telecom towers on bus stand rooftops and the allotment of space to major brands at bus terminals to generate additional revenue.
Agnihotri said all 28 categories of concessional passengers would now be required to obtain a Him Bus Card to avail travel benefits. Over 21,000 cards have already been issued, with tie-ups signed with UCO Bank, Axis Bank and Punjab National Bank to extend financial services to employees. Ticket booking and Him Bus Card services will also be made available through Lok Mitra centres.
Responding to remarks by former chief minister Jai Ram Thakur, the Deputy Chief Minister said the government would continue to move ahead firmly with its decisions despite political criticism.

