Published April 2025
A TQH and FlixBus Study on the All India Tourist Permit System
India is a country on the move, and bus services are a key cog in the transportation machine. In light of this, our report explores the challenges and opportunities for transforming India’s inter-city bus transport system, which plays a critical role in the nation’s economic and social mobility. The focus is primarily on the regulatory, operational, and enforcement issues within the All India Tourist Permit (AITP) framework, which governs inter-state bus transport.
The report identifies key issues in the bus transport sector, facing bus operators, passengers, and governments, and suggests actionable steps for reform. For bus operators, the key issues include a fragmented regulatory framework and multiple layers of taxation as well as ambiguity on rules related to AITP. States, meanwhile, face revenue losses due to lacunae in the abovementioned rules. Passengers, on the other hand, face significant inconvenience due to the inadequate facilities, such as poor washrooms, limited seating, which also pose additional risks for women and persons with disabilities.
Based on extensive study and stakeholder consultations, the report suggests certain changes to the current regulatory framework for inter-city bus transport to assuage key concerns, including:
- Clarifying unclear provisions in the AITP Rules, like ones on Multi-Stop Operations
- Renaming AITP to All India Passenger Permit (AIPP)
- Introduce Incentive-Based Home-State Touch Requirement for Bus Operators
- Providing Access to State-Run Terminals for Private Bus Operators
- Digital Enforcement and Monitoring to reduce harassment of bus operators
- Introducing India Bus Operations Index (IBOI)