The Telangana Assembly has approved a new road safety tax on newly registered vehicles, aimed at strengthening traffic safety infrastructure and reducing road accidents across the state. Under the new legislation, buyers of two-wheelers will pay ₹2,000, light motor vehicle owners ₹5,000, and heavy vehicle purchasers ₹10,000 as a one-time road safety levy.
According to government officials, the funds collected through the tax will be exclusively used for road safety initiatives. These include improving road engineering, installing safety signage, enhancing accident-prone junctions, and setting up automatic driving test centres to ensure stricter and more transparent licensing procedures.
The government stated that Telangana records a high number of road accidents annually, often due to poor driving skills, inadequate testing mechanisms, and infrastructure gaps. By introducing a dedicated safety fund, authorities aim to create a sustainable financial base for long-term traffic safety improvements.
While the ruling side defended the move as a necessary step to save lives and modernise transport systems, opposition members raised concerns about the additional financial burden on vehicle buyers. The government, however, maintained that the levy is modest and justified given the potential public safety benefits.
The new road safety tax is expected to come into effect soon, following notification and implementation guidelines, and will apply to all new vehicle registrations in Telangana.
