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Pradhan Mantri Gram Parivahan Yojana Scheme (PMGPY)

In the Age of the Robots and Space Science, there are still many places in India where there are no proper facilities for transportation, food, health, and shelter. Out of which the Transporation issue is what we are going to discuss today in this article. There are no proper roads, highways, and bridges connected to the rural villages due to which the farmers, women, children etc suffer a lot of issues. Therefore to improve these conditions the Prime Minister of India Mr. Narendra Modi has introduced a new scheme to develop and improve the transportation facility in the rural areas. The scheme was called as the Pradhan Mantri Gram Parivahan Yojana Scheme. The main objective of the Yojana is to provide subsidies to the rural population to buy passenger vehicles like minivans, small buses etc. Proper roads and other modes of transportation are the strong initiatives for the development. This is a move started by the Government to boost the transportation facilities in the rural places in India.

The Yojana has planned to give subsidies for around 80,000 commercial passengers vehicles available in the villages. The scheme is not only meant for the men but also for the women. The women can also participate in the functionality of the Yojana and get the maximum benefit and opportunities.


Pradhan Mantri Gram Parivahan Yojana

Pradhan Mantri Gram Parivahan Yojana is the next phase of  Pradhan Mantri Gram Sadak Yojana, which was launched in 2000. The Scheme was first introduced by then Prime Minister of India, Shri Atal Bihari Vajpayee Ji. Union Government took the initiative followed by the Union Transport Minister, Nitin Gadkari and Prime Minister Mr. Modi launched this Yojana and named it as the Pradhan Mantri Gram Parivahan Yojana.

Eligibility Criteria of The Pradhan Mantri Gram Parivahan Yojana 

The Government has made some strict criteria’s to enjoy the facilities and benefits of this Scheme:

Commercial Passenger Vehicle

  • The Vehicle that you are applying for must be for the Commercial Purpose: Here under the scheme, the Central Government will be providing loans to the commercial vehicles to the rural areas across the country. So to get this facility, the vehicle that you are applying for must be for the commercial purpose.

The Vehicle has a Limit up to 10 Passengers

  • The Vehicle must not contain more than 10 fellow passengers. The maximum limit is 10 people. No heavy vehicles that contain more than 10 people are eligible to avail this facility.
  • The vehicles must run approx 20-22kms every day and should cover and connect at least 10-12 villages of different blocks or within the same blocks.

Benefits For the Tribal, Women, Self-Help and BPL Families

  • The scheme will also facilitate the women of the rural villages. The Yojana will provide interest-free loans to the women self-help groups so that they can buy commercial passengers vehicles for their business purpose.
  • The Government will choose tribal, women, self-help and BPL families to operate these transport services successfully. As said in the above. Around 80,000 commercial vehicles will be offered in the countryside regions.

Features of Pradhan Mantri Gram Parivahan Yojana

  • The Pradhan Mantri Gram Parivahan Yojana is the extended scheme version of the Pradhan Mantri Gram Sadak Yojana. After the development of the roadway facilities of the rural areas, the Government has decided to enhance the transportation service in the rural areas. Currently, approximately 80kms of rural roads are being built every day under Pradhan Mantri Gram Sadak Yojana. The authorities are trying to make it to 138 kms a day.
  • The aim of this Yojana is also providing employment and a basic income for the localities of the areas and the villages.
  • The Scheme will lead to the generation of the Employment and provide a working opportunity to the women class in the society. Under this scheme, the women can get an interest free vehicle loan for the commercial purpose.
  • A Pilot of the Scheme has taken off from Bilaspur district in Chhattisgarh and more pilots will be started in approx. 20 locations of the North-Eastern state regions.
  • Introduction of this scheme will also enhance the public transportation facility in the rural areas. Now, it will be easy for a villager to communicate with the other parts of the Nation.

Loan Facilities Under The Pradhan Mantri Gram Parivahan Yojana

  • The applicant will get up to Rs 6 lacs of Loan under this scheme. According to the rule of the scheme, the tenure limit of the loan will be 6 months. This loan is used to buy the commercial vehicle that has a maximum carrying capacity of 10-12 person.
  • The loan under the scheme is a short-term loan. The subsidy on the interest will be high. This scheme will also generate an employment opportunity facility in the rural areas. The Women and the financially backward class people of the society are benefitted under this scheme.
  • Under this scheme, at first 1500 commercial vehicles will get the loan facility. Government is planning to issue loans for more than 80,000 commercial vehicles.

Subsidy Under The Pradhan Mantri Gram Parivahan Yojana

Along with the Loan Facility, the Central Government of India is also providing the interest subsidy as well. The interest subsidy ranges from 30-35% for every loan for the commercial value given to the applicant. Which means that whatever the amount will be the applicant has to pay 65% of the interest amount and the rest amount is paid by the Government.

Facilities and Benefits of Pradhan Mantri Gram Parivahan Yojana

The Facilities and the benefits of the PMGPY are

  • The Launch of PMPY will be of great advantage, mostly to the children and the people who stay in farther places.
  • The lack of transportation lead to the emergence of a lot of issues but the launch of this issue has turned out to be an easy thing due to the introduction of the vehicles and proper transportation facilities.
  • The locals living in the remote areas can purchase the vehicles at a low-cost price which is another benefit of the scheme.
  • As per the thoughts, and perspective of the Economists and the NGO’s across the nation, the Scheme turned out to be a good symbol of the development of the country. Proper guidelines and Governance should be followed so as to meet the desired goal of the Yojana.

Thus, this scheme will generate a vast opportunity for the people who live in the rural places and will also help in the improvement of the trades and business that performs across the Nation.

Read more about Various Government Schemes:

Smart Ration Cards by TamilNadu Public Distribution System TNPDS

Pradhan Mantri Awas Yojana-PMAY

Pradhan Mantri Kaushal Vikas Yojana-PMKVY

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