Govt preparing for reverse journey to bring back transport syndicate

Secondly, the syndicate colludes and makes the rent more expensive, punishes the businessmen who try to provide cheap services. Third- the demand determines how many vehicles are needed on which route, but when the syndicate decides how many vehicles will depart on which route and at what time, the competition has narrowed. Fourth – monitoring and regulation of public transport is the responsibility and authority of the government, but the syndicate also defies the regulation of the state. And fifthly, the provision of treatment and compensation for any accident should be through insurance as per the requirements and state regulations, but the syndicate is arbitrary in that too. Syndicate system was abolished 6 years ago as per the order of the Supreme Court as it would suppress the right of businessmen to have fair competition and the right of consumers to choose services. But, ironically, the government is struggling to revive this system.

Since new businessmen cannot enter the transport sector, businessmen have to pay money to illegal groups, service users do not get a chance to choose and groups are rampant on public roads, the Council of Ministers on May 4, 2075 decided to end all types of syndicates in the transport sector. The Transport Committee, which was running the syndicate, was dismissed by that decision. Soon after, the Federation of Transport Professionals, which started protesting, was ready to end/abolish all forms of syndicates in agreement with the government. Section 14 of the Organization Registration Act, 2034 states that if the organization is dissolved for any reason, the entire rights of such organization will be transferred to the Government of Nepal. After almost five years, the task force was formed but instead of opening the way for property management, it suggested to renew the abolished committee. This suggestion is objectionable.

The working group led by former secretary Sharad Chandra Poudel submitted a report to the Ministry of Physical Infrastructure and Transport on 18th January 2018 through the Transport Management Department. The Physical Ministry has written a letter to the Ministry of Home Affairs on May 3 for the implementation of the report. Allowing the Transport Committee to be renewed on the basis of the recommendations of the task force is to embarrass the syndicate. Because even after the announcement of the end of the syndicate, most of the transport businessmen are continuing to act arbitrarily in various forms. It is a mockery of the law to legitimize the syndicate instead of ending it practically and completely. While the

syndicate was running, the entry of new public transport was prohibited. When a new businessman took a route license from the government and brought the vehicle on the road, the members of the old committee used to vandalize it. The committee used to buy and sell routes. The rent rates were also fixed arbitrarily by the committees. Whereas in Section 168 of the Vehicle and Transport Management Act, 2049, it is stated that 'in order to develop the transport business in a clean competitive manner, no license shall be granted to public vehicles for operating services under the cycle system'. Similarly, Section 3 (2) of the Consumer Protection Act, 2075 states that the right to choose quality goods or services at fair competitive prices. In the Competition Promotion and Market Protection Act, 2063, it is said that no contract should be entered into against fair competition. After the syndicate was running against these laws, the Supreme Court issued an order to abolish the transport syndicate in the years 061, 067 and 073.

6 years ago, the government was praised by the public when it decided to end the syndicate of public transport. Raghuveer Mahaseth was the Minister of Physical Infrastructure and Transport at that time. Coincidentally, when Mahaseth returned to the same responsibility, there is a move to revive the syndicate. In order to respect the rights of consumers and the order of the Supreme Court and to ensure fair competition and the right to choose services, the remnants of the syndicate system should not be left. The government should take decisive steps to control the syndicates running in one form or another, backward travel will be counterproductive.