Hyderabad: Telangana govt has increased the approved cost of setting up 37 automated testing stations (ATS) for vehicle fitness checks from Rs 296 crore to Rs 425 crore, raising the allocation per station from Rs 8 crore to Rs 11 crore. The revised approvals, issued on Thursday, aim to introduce technology-based fitness testing across the state, replacing conventional inspection methods with automated systems.
Rather than funding the project entirely through direct budgetary allocations, govt has approved a self-financing model for setting up and operating the facilities. A special purpose vehicle (SPV) will be formed under the transport department to oversee the project and its operations. The funds required for construction and establishment will be raised through loans from banks and financial institutions, including HUDCO . The SPV will maintain a dedicated fund into which application fees, fitness-testing charges and user charges collected from vehicle owners will be deposited. The money will be used exclusively to repay the principal and interest on loans taken for establishing and operating the stations. Govt has directed the transport commissioner to prepare a detailed proposal covering the SPV’s structure, functioning and financial model and submit it for approval. The revised order provides the administrative and financial framework for taking the project forward. The proposed network is intended to modernise vehicle fitness testing through automated equipment, reducing reliance on manual assessments. The stations will play a role in checking whether vehicles meet prescribed fitness standards before being certified for road use.