Lok Sabha has passed the Motor Vehicles (Amendment) Bill, 2019. The Bill seeks
to amend the Motor Vehicles Act, 1988 to provide for road safety.
Bill proposes a National Transportation Policy for ushering in guidelines on
the transportation of goods and passengers. The Policy will envision a) establishing
a planning framework for road transport, b) developing a framework for grant of
permits, and c) specifying priorities for the transport system, among other
Bill has proposed that the central government should develop a scheme for
cashless treatment of road accident victims during golden hour. It defines
golden hour as the time period of up to one hour following a traumatic injury. During
this time, the likelihood of preventing death through prompt medical care is
Bill also requires the central government to constitute a Motor Vehicle
Accident Fund, to provide compulsory insurance cover to all road users in
Bill provides for increasing the minimum compensation in case of death in hit
and run cases from the current Rs. 25,000 to Rs 2 lakh and in case of grievous
injury from current Rs.12500 to Rs 50000.
the bill states that new vehicles should be registered at the dealer level and
it will eventually remove buyers’ interface with registration authorities.
Bill also provides for a National Road Safety Board, to be created by the
central government. The board will advise the central and state governments on
all aspects of road safety and traffic management.
Bill also call for issuance of licenses to taxi aggregators by state. Further,
they must comply with the Information Technology Act, 2000. It defines
aggregators as digital intermediaries or market places which can be used by
passengers to connect with a driver for transportation purposes (taxi services)