The Chandigarh state transport authority (STA) has entered into an agreement with Punjab National Bank (PNB) for providing financial assistance to those interested in buying LPG auto-rickshaws.
UT transport secretary Bhawna Garg on Monday signed the agreement with the PNB. The finance facilities would be governed by the PNB's scheme for advances to owners for LPG auto-rickshaw in Chandigarh.
The rate of interest for the financial assistance would be 10.75% per annum instead of existing rate of 13% per annum.
There are about 2,700 LPG auto-rickshaws already registered with the STA and about 2,000 more auto-rickshaws are expected to be registered during the coming financial year.
Further the Chandigarh administration is also considering to provide the financial assistance/subsidy to the LPG auto-rickshaw purchasers to the tune of Rs 10,000.
A provision has already been recommended in the next budgetary allocations for this subsidy.
Last year, the Chandigarh administration had allowed the Bharat Stage III (BSIII) diesel autos registered in Panchkula and SAS Nagar to ply in the city till March 31.