Scheme for Small Road Transport Operators (SRTOs)

About This Scheme

The scheme "Scheme for Small Road Transport Operators (SRTOs)" was launched by the Pondicherry Industrial Promotion Development and Investment Corporation Limited (PIPDIC), Department of Industries & Commerce, Puducherry. The scheme aims to extend financial assistance for acquiring new transport vehicles, specifically goods and passenger vehicles. The scheme provides financial assistance covering up to 70% of the cost of the vehicle, excluding road tax and insurance. The applications for this scheme are accepted online.

Eligibility

- The applicant must be a resident of Puducherry. - The applicant must be seeking financial assistance for acquiring new transport vehicles, which include Goods vehicles and Passenger vehicles. - The applicant must not be seeking financial assistance for second-hand vehicles.

Benefits

- Financial assistance is provided up to 70% of the cost of the vehicle. - The calculation for the financial assistance excludes the cost of road tax and insurance. - The assistance is intended to meet the expenditure towards the cost of the chassis and body building for new transport vehicles (Goods and Passenger vehicle). - The maximum repayment period is 58 monthly instalments. - The repayment period includes a moratorium period of a maximum of 3 months. - A concessional rate of interest of 0.5% less than the normal rate is charged for units promoted by Women, Scheduled Caste, Scheduled Tribe, or Differently abled persons. Financial Norms: [https://pipdic.in/financial_norms](https://pipdic.in/financial_norms) ##### *Conditions* - _The proposed vehicle must be hypothecated._ - _Collateral security in the form of immovable property must be offered as per the lending policy of the Corporation._ - _If the immovable property used for collateral security is situated in the Union Territory of Puducherry, its value must be not less than the amount of the term loan sanctioned._ - _If the immovable property is situated outside the Union Territory of Puducherry, the value of the property offered shall be not less than 150% of the loan amount if it includes land with a building._ - _If the property offered outside the Union Territory of Puducherry is only land, its value shall not be less than 200% of the loan amount._ - _For units promoted by Women, Scheduled Caste, Scheduled Tribe, or Differently abled persons, the required value of the immovable property offered as collateral security is reduced and fixed at 50% of the loan amount._ - _The valuation of the properties to be offered as security must be assessed by engaging Chartered Engineers or valuers from the approved panel of the Corporation._

How to Apply

Where This Comes From

This scheme was sourced from myScheme, the Government of India's official Central+State scheme discovery portal, and reviewed by an editor before publishing. Use the button above to read the full details and apply directly on the official source.