December 10, 2006	Sunday	Ziqa'ad 18, 1427

KARACHI, Dec 9: The Sindh government is all set to regulate the rent-a-car business by introducing a licensing system. A summary to this effect has been sent to Transport Minister Adil Siddiqui for a new rule, which will bind the operators to obtain a license after paying a fee.

Secretary, Provincial Transport Authority (PTA), Mr. Mohammad Khalid Khan, told Dawn on Friday that the registration of rent-a-car operators would help the ministry to keep a record of the operators and the vehicles used by them.

Under the new rule, it will be the responsibility of the owners not to rent a vehicle to persons without checking their credentials.

There is no authentic figure for the number of rent-a-car operators in the city, but according to an operator their number is about 1,000. The main concentration of this business is in Liaquatabad, and Nazimabad. There is, however, such a business in Clifton, Defence, Sharea Faisal, Gulshan-i-Iqbal, Gulistan-i-Jauhar and other localities.

According to Shahid Amin of Hamd Enterprise, the business is prone to risks as there is sometime a total loss in case of an accident or stealing of the vehicle. He said the business was not blossoming and hence it was not in a position to pay any tax.

The majority of the operators, however, have no objection in paying a one time license fee provided the ministry helps in the redressal of their problems.

Faisal Rasool of Orion Rent-A-Car said he had in his fleet about 40 vehicles, of which five to six are rented out daily. The charges ranged from Rs500 for a small car to Rs1,500 per day for a new model Corolla. There is Rs50 discount for persons renting a vehicle for a week, he added. New cars are not rented out without a driver whose charges are Rs200 per day.

The marriage and holiday seasons are the best time for business boom when overseas Pakistanis on returning home hire vehicles for their personal use. Businessmen also rent vehicles for their guests from abroad.

Shahid said that the business provides a livelihood to many retired people who use the premise for renting out their one or two vehicles. They pay some commission to the owner.

He said that the leasing of vehicles by banks had contributed to the business and some owners keep new cars to meet the demand of the customers.

The PTA chief said that the minister had issued special directives to the PTA to check misuse of different types of vehicles in street crimes.

Another major initiative of the ministry is to curb the business of rent-a-bike motorcycles. Such bikes are used in snatching of mobile phones, ladies purse and in other street crimes. The incidence of crimes on rented bikes has increased considerably during the last few years, he added.

Yet another proposal is under consideration by the ministry to reserve seats at- least four--for senior citizens and the disabled in buses and vehicles plying on city and inter-city routes. It is also planned to give upto 50 per cent concession in traveling to such groups. The consultations on the proposal are under way between the PTA and the city government, he added.