Taxis will replace age-old autorickshaws in a phased manner in four years. Chief Minister Y.S. Rajasekhar Reddy on Thursday gave the nod to transport department's proposal to replace over 1 lakh autorickshaws in the next four years.
The government has decided to assist the autorickshaw owners by providing bank loans up to Rs 4 lakh each to purchase new cars to run as taxis at 3 per cent interest rate per annum.
The transport department cited pollution and modernization of the city roads as the main reasons for phasing out of three-wheeleres.
The officials hoped that there would be good response from the drivers since the introduction of new autorickshaws was banned five years ago.
The government is keen on speedy implementation of the taxi scheme since New Delhi, Mumbai and Kolkata have been encouraging cabs for the last few years. The proposal was mooted five years ago.
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