Telangana to launch 37 automated vehicle‑fitness testing stations via new SPV

Telangana government has approved the creation of a Special Purpose Vehicle to build 37 automated vehicle‑fitness testing stations across the state. The first phase will roll out 15 stations, one at each composite district headquarters, and an additional four stations inside the Greater Hyderabad Municipal Corporation and Hyderabad Metropolitan Development Authority areas. Each station will cost ₹11.50 crore, bringing the first‑phase outlay to ₹172.5 crore. The remaining 22 stations will be installed in a second phase at an estimated cost of ₹252 crore. The SPV will run on a self‑financing model, raising money for construction and upkeep through loans from banks and financial institutions such as HUDCO. The move aims to modernise vehicle fitness checks, reduce manual bottlenecks and bring consistency to inspections statewide. By locating stations in district hubs and the Hyderabad metropolitan zone, the government hopes to cut travel time for vehicle owners and improve compliance with safety norms. The financing plan expects the SPV to repay loans from the revenue generated by testing fees, ensuring the network can sustain operations without ongoing state subsidies. The project marks a step toward digitising transport regulation in Telangana.

Context

A Special Purpose Vehicle is a separate legal entity created to raise capital and manage specific projects without affecting the parent government's balance sheet. Automated fitness testing uses sensors and software to check brakes, emissions and other safety parameters quickly. Similar setups are being explored in other Indian states to speed up vehicle inspections.