Shimla, March 30 Chief Minister Sukhvinder Singh Sukhu said on Monday that the state government has not imposed any new entry tax, but has only increased the existing one, which will be rationalized soon.
"The entry tax has been in effect for the last 30 years, and the recent increase is primarily due to its integration with the FASTag system on National Highways," he told the Vidhan Sabha.
The increase has no significant impact on small vehicles; however, large vehicles have seen an increase of Rs 40, from Rs 130 to Rs 170. Relief will be provided by issuing passes to people residing within a 5-kilometer radius of the entry points, he added.
Leader of Opposition Jairam Thakur raised the issue of the entry tax being imposed from April 1, stating that this decision is creating tension with the neighboring state of Punjab.
He said that the Finance Minister of Punjab has issued a warning of retaliatory action, which could lead to a confrontation between the two states and cause difficulties for Himachal Pradesh residents traveling to the neighboring state.
The LOP urged the chief minister to take this matter seriously and engage in dialogue with the Punjab government to resolve the issue. He said that the taxi union and tourism stakeholders in the state are also unhappy with the entry tax hike on vehicles bearing numbers other than Himachal.
He cautioned that if any untoward incident occurs involving Himachal Pradesh residents in neighboring states, the entire responsibility would rest with the government.
Expressing concern over this issue, BJP MLA Randhir Sharma said that the government should consult contractors and relevant stakeholders before proceeding with the rationalization, as they have already taken tenders.
He said that protests are taking place in border areas, and warnings regarding border closures have even been issued in some locations. People from Punjab have gathered at the border to protest and have threatened to blockade it starting at midnight on March 31, he added.
A solution to this issue must be found within a single day to ensure the law and order situation does not deteriorate on the night of March 31, he added.