Speaker - Mr. Suhaan Mukherji, PLR Chambers

1. Motor Vehicle Regulation & Road Safety Bill 2015
suhaan.mukerji@plrchambers.com

2. To provide a framework for safe, fast, cost effective and
inclusive movement for passenger and freight in the country
thus enabling ‘make in India’
Vision
2 lac
lives to be saved in first 5
years due to reduction in
road crash deaths
4% GDP
improvement on account of
increased efficiency and
safety of road transport
sector
10 lac
Jobs to created with
increased private sector
participation

3. Shift to international best practices:
Institutional Framework
INSTITUTIONAL FRAMEWORK
Existing Proposed
Lead Agency
National Road Safety Authority No Yes
State Safety Authority No Yes
National Transport & Multimodal Coordination
Authority No Yes
State Transport Authority No Yes
National Road Safety Strategy
Yes
Yes
Funding strategy to implement programs Partially
funded
Dedicated
Fund
Fatality reduction targets set* No Yes
Fatality reduction target (annual)* No Yes
* To be set by the National Road Safety Authority

4. Shift to international best practices: Safer Mobility
SAFER MOBILITY
Existing Proposed
Policies to encourage investment in public
transport
Yes
Enhanced
Policies to separate road users to protect Subnational
vulnerable road users
Subnationa
l
Policies to promote walking or cycling Yes Yes

5. Shift to international best practices: Safer
and more efficient vehicles
SAFER AND MORE EFFICIENT VEHICLES
Existing Proposed
Vehicle Standards
New car assessment programme Yes Yes
Road worthiness tests for all cars and two wheelers (5 years)
No
Yes
Vehicle Regulations
Time-bound vehicle type certification Partial Full
Vehicle categories of trailor, semi-trailor No Yes
Conformity certification of vehicle spare parts No Yes
Front and rear seat belts required in all new cars No Yes
Vehicle Registration
Unified vehicle registration system Yes Yes
Registration linked with insurance, vehicle offence, fitness No Yes
Private participation in vehicle fitness testing No Yes
Provision for recall of vehicles No Yes

6. Shift to international best practices: Safer
Road Users
SAFER ROAD USERS
Existing
Proposed
Driver Licensing
Unified driver licensing system Yes Yes
Automated driver licensing test No Yes
Private participation in driver assessments No Yes
Penalty/demerit point system in place
License penalty points scheme No Yes
Strict penalties for offences involving children No Yes
Detailed impairment test for drunk driving No Yes
Law prohibits hand-held mobile phone use -- Yes
Law also applies to hands-free mobile phones -- Yes
Speed limits
Speed limits posted on all roads No Yes

7. Shift to international best practices
: Safer Road Users
SAFER ROAD USERS
Existing
Proposed
Drunk-driving
BAC Limit 0.03g/dl 0.02g/dl
Random breath testing and/or police checkpoints Yes Yes
Motorcycle helmets
Applies to all drivers and passengers Subnational Yes
Helmet standard mandated Yes Yes
Seat-belt use
Applies to front and rear seat occupants Yes Yes
Child restraints
Child restraints, child zones, child helmets, and adult accountability No Yes
Enforcement

8. Shift to international best practices:
Post-Crash Care
POST-CRASH CARE
Existing Proposed
Vital Registration System Yes Yes
Standard post-crash follow-up of victims No Yes
Emergency access telephone number(s) Multiple
Numbers
Single
Number
Mandated
Emergency medicine training for doctors Yes Yes
Emergency medicine training for nurses Yes Yes
Emergency training for paramedics No Yes*
* To be set by the National Road Safety Authority

9. Shift to international best practices: Safer
and More efficient infrastructure
SAFER & MORE EFFICIENT INFRASTRUCTURE
Existing Proposed
Transit infrastructure
Transit priority No Yes
Impetus for BRT & intra-city transport No Yes
Multimodal integration No Yes
Provisions for NMT & pedestrian bicycle infrastructure No Yes
Emphasis on safety of school children/women/Persons with disability
No
Yes
Rationalization of public transport permits No Yes
Road infrastructure
Standards & guidelines for road infrastructure
development, classification, design & construction No Yes
Formal audits required for new road construction Yes Yes
Logistics
Framework for preventing overloading No Yes

10. Shift to international best practices:
Insurance and Crash Investigation
INSURANCE AND CRASH INVESTIGATION
Existing
Proposed
Insurance
Requirement of insurance companies to comply with
policies, procedures for investigation, and settlement
of claims No Yes
Provision of cashless treatment for victims of all
crashes during ‘Golden Hour’ No Yes
Necessity for third-party insurance Full Full
Motor vehicle crash fund to provide mandatory insurance
to all road users No Yes
Crash Investigation
Standard crash investigation procedure No Yes
Detailed crash investigation report Partial Yes
Database of all drivers, vehicles and crashes Partial Full

11. • School bus guidelines
• Directions to control and manage the flow of trafficM.C. Mehta v. UOI
(1997/98)
• Insurance liability where the driver does not possess a
valid driving license
National Insurance Co.
LTD v Swaran Singh & Ors
(2004)
• Charging those who cause death in a road crashes
under a harsher clause in the IPC
Alistair Anthony Pareira v.
State of Maharashtra
(2012)
• Hefty Fine to be used for compensation to victims of
crashes
• Role of Bystanders & their protection
State v. Sanjeev Nanda
(BMW Case) (2012)
• Set up a permanent Road Safety monitoring
Committee to oversee schemes of the Government of
India and State Governments
S. Rajaseekaran v. U.O.I
(2014)
Lacuna in Law – Activism by courts

12. • Permanent Committee set up in April 2014
• Monitoring of schemes of GOI & States on
Road Safety
Justice
Radhakrishnan
Committee
• Provided recommendations to the Court
on first aid education in schools,
infrastructure on National Highways and
training of police
Justice Agarwal
Committee
• Recommended a Highway Force
• Increased trauma infrastructure on
highways & Universal Access Number
• Good Samaritan Protection
Committee
under AS(CS),
MHA
Lacuna in Law – Activism by courts

13. Public
transport
• develop competitive market for public
transport
Safety by
design
• construction, design, maintenance and use
of motor vehicles & roads
Environment
• energy efficient and eco-friendly transport
system
Unified
market
• facilitate movement of people, goods and
services
Guiding Principles of the Bill

14. Motor Vehicle Regulation & Road Safety Bill 2014
Chapter Content
1 Preliminary
2 National Road Safety Authority of India
3 Regulation of Motor Vehicle
4 Unified Driver Licensing System
5 Unified Vehicle Registration System
6 National Road Transport & Multimodal coordination Authority
7 Public passenger transport
8 Public goods transport & national freight policy
9 Infrastructure & Multimodal facilitation
10 Road Safety & Traffic Management
11 Insurance of Motor Vehicles against third party risks
12 Claims Tribunals
13 National Highway Traffic Regulation & Protection Service
14 Offences and Penalties
15 Miscellaneous

15. Morth Members
Roads standards
Traffic
management
Motor vehicle
insurance
Testing standards
Transport
infrastructure
Chairperson
Chapter 2: National Road Safety Authority of India
Technical Panels:
Representative List

16. Dedicated focus
and institutional
setup to save
more than
200,000 lives in
first 5 yrs
Independent agency
for vehicle regulation
and road safety
Legally empowered &
fully functional agency,
accountable to
Parliament
Financial independence
with innovate financing
mechanism for continued
safety program
Chapter 2: National Road Safety Authority of India

17. Mandating & monitoring standards for Road Safety
Vehicle type approval, construction, design, and maintenance
Management of Single Unified Registration System
Management of Single Unified Driver Licensing system
Ensuring transport and infrastructure efficiency
Setting standards for all aspects mentioned in this Act
Functions

18. Promote innovation
and technology
adoption
Create new economy
around spare part
production
Improved vehicle
design for safer travel
Time-bound vehicle
type approval to
promote innovation.
Conformity to make
spare parts cheaper
SPARES
Chapter 3: Motor Vehicle Regulations

19. Chapter 3: Motor Vehicle Regulations
Pertains to all aspects of motor-vehicle regulation (design, weight, safety
equipment, fuel efficiency, et al)
Covers aspects related to breach of regulations
Describes procedures related to procuring a Vehicle Type Approval
Certificate and Certificate of Conformity, and the conditions for the
suspension/cancellation of the same
Covers rules related to the retrofitting of vehicles
Describes the role of the National Authority with respect to Safety Tests
Describes conditions and obligations pertaining to the recall of vehicles

20. Simplified application
and issuance
procedures for driver
licensing system
Unified biometric
system to avoid
duplication.
Technology adoption
for driver testing
facilities
Transparent, single
window driver licencing
system. Automated
driving test for increased
capacity with private
sector participation.
Chapter 4: Unified Driver Licensing System

21. Unified registration in a
dynamic information
system
Manufacturer, owner,
transport authority,
insurer, enforcement
agency all in one eco-
system
Private sector
participation in
establishing fitness centres
Integration of all
stakeholders.
Easy (online) transfer of
vehicles across states.
Increased private
sector participation to
create more jobs
Chapter 5: Unified Vehicle Registration System

22. Single national
authority for improving
quality of road
transportation
Focus on developing
integrated transport
systems & multi-modal
hubs
Feeder system and last
mile connectivity for
people friendly
mobility
Institutional setup to
facilitate ‘Make in
India’ vision. Seamless
movement of goods
and passengers
across various modes
Chapter 6:National Road Transport & Multimodal
coordination Authority

23. Comprehensive definition of “Transit Improvement Infrastructure”
Exhaustive list of categories of public transport facilities including special mention of
Bus Rapid Transit(BRT)
Permit Rationalisation – National Permit & State Permit
Scheduled Service
Restricted Scheduled Service
Metered Service
Restricted Metered Service
Chartered Service
Persons with disability have been considered while framing the Act
Key Elements

24. Increasing the share of
public passenger
transportation
Two-tier permit system -
national and intrastate
permit
Developing &
regulating public
transport schemes
Promoting eco-
friendly public
transportation for
improving road safety,
cost-effectiveness.
Chapter 7: Public passenger Transport

25. Simplified permits with
online payment and
single portal
clearances
Identification and
development of freight
network
Address bottlenecks
concerning trucking
industry
Increase in logistics
efficiency will reduce
inflation and enable
Indian manufacturing
to become globally
competitive
Chapter 8: Public goods transport & National
freight policy

26. Infrastructure for
passenger and goods
movement
Specific provision for
infrastructural needs of
vulnerable road users
Integration across
various modes of
transport
Dedicated infrastructure
will improve safety.
multimodal integration
will improve reliability
and lower the cost of
transportation
Chapter 9: Infrastructure & Multimodal facilitation

27. Provision for
enforcement of
modern safety
technologies
Creation of a motor
vehicle crash fund for
immediate relief to
crash victim
Special emphasis on
safety of school
children and security
of women
Electronic
enforcement in urban
clusters.
Special emphasis for
safety of vulnerable
road users
Chapter 10: Road Safety & Traffic Management

28. Chapter 11: Insurance of Motor Vehicles against thir
Key new concepts:
Necessity for third party insurance
Duty to give insurance to customers
Minimum premium and maximum liability of insurers
under third-party insurance
Detailed Crash Investigation Report
Payment of compensation on a structured formula
Motor Vehicle Crash Fund

29. Detailed Crash
Investigation
Report (immediate)
Insurance
Company Officer
Intimated and
Appointed
Insurance
Company to
intimate to Claims
Tribunal within 30
days
If no
representation by
Insurance
Company, matter
settled within 12
months
Chapter 12: Claims Tribunals
To adjudicate claims for compensation in respect of crashes
involving death or bodily injury to persons arising out of the use
of motor vehicles, or damages to any property of a third party

30. • Motor Vehicle Crash Fund
• To be recouped by Insurance
Company on settlement/award
Immediate
Stabilization
• Settlement
• Award by tribunalInsurance
• GIC
• Motor Vehicle Crash FundHit and Run
30
Relief to victims

31. Combination of
penalty& fines to
enforce traffic rules
Strict enforcement for
driving under the
influence of drugs &
alcohol
Electronic detection &
centralised offences
information to identify
repeat-offenders
Graded penalty point
system will act as a
deterrent and
improve traffic
condition by reducing
road rage
Chapter 14:Offences and Penalties

32. Chapter 14: Offences and Penalties
Key new concepts:
Driver penalty points system:
Scale of penalty points corresponding to degree and nature of offence
Accumulation of penalty points  further penalty of cancellation.
Vehicle penalty points
Scale of points corresponding to nature of offence
Accumulation of penalty points  further penalty of impounding or immobilisation
Unified schedule of penalties: combination of
Fines  Imprisonment  Penalty points
Licences/permits cancellation  Impounding  Compulsory refresher training
Deterrent fines to discourage road users from committing violations
Schedule of offences & penalty points system: Amendment possible by Safety
Authority
Zero tolerance for consuming alcohol/drugs and driving

33. Key Aspects
5 types of penalties introduced: Penalty Points, Fines Imprisonment, Impounding and
Refresher Training
License penalty points scheme: leading to cancellation/suspension of license
Contact free enforcement reduces corruption
Harsh penalties for offences involving children or resulting in their death/injury
Tests for Drink-Driving laid out in detail – including impairment tests (sobriety checks etc.)
Penalty points & fines laid out in Schedules – power to amend remains with National
Authority

34. Thank you
Best Firm for Policy & Regulation
- 2014 International Business Law Journal Awards
suhaan.mukerji@plrchambers.com