Truckmakers like Tata Motors Ltd., small and large fleet operators, logistics players and various associations have decided to support the government’s move to mandate air-conditioners in truck cabins.
The additional costs due to higher fuel burn are expected to be minimal and outweighed by an improvement in efficiency of the driver amid a shortage, industry members BQ Prime spoke with said.
Various associations of fleet operators said that only 80-85 drivers are available for every 100 trucks, as the rough working conditions and absence of social security benefits have limited the entry of new drivers and made it difficult to retain the ones still working.
This is a turnaround from the earlier industry opinion. In 2016, the government proposed to make ACs in truck cabins mandatory, but the industry opposed it citing higher costs, thereby delaying the implementation.
“Some people protested a lot last time saying that costs will increase. Today, before coming here, I have signed on the file, mandating truck drivers’ cabins to be installed with ACs,” said Nitin Gadkari, the Minister of Road Transport and Highways, in an event a few days ago.
Comfort Versus Safety
At that time, the move was opposed as the industry considered it to be a subject related to comfort and not safety.
“We appreciate MoRTH’s concern for comfort of truck drivers. However, SIAM is of the view that AC being a comfort-related subject and not safety should not be regulated or mandated,” Vishnu Mathur, the then director general of SIAM, was quoted as saying in a media report.
Market leader Tata Motors Ltd. highlighted the issue of higher costs as well.
“Many of us at SIAM (the apex industry body) are of the opinion that air-conditioning will push up the operating cost of a truck," Ravi Pisharody, then executive director of the commercial vehicles division of Tata Motors, said to another publication.
"AC impacts fuel economy and most of the time, the AC will be switched off and not in use. The reason is that, for truckers, fuel economy is the very heart of the commercial vehicle industry, with nearly 60% of the cost being fuel," he said.
Nowhere in the world is AC compulsory for trucks, Pisharody had said.
While SIAM hasn’t said anything on the issue yet, Tata Motors’ view has changed as the company is now welcoming the move.
India’s growing trucking industry is facing the challenge of attracting and retaining skilled truck drivers. The decision will benefit the health and safety of drivers as the long hours of truck driving will become more comfortable, a company spokesperson said in a statement.
Tata Motors said it will “comfortably comply” with the mandate to offer air-conditioned cabins, in the entire range of trucks, well within the deadline. While there is a marginal increment in costs, the overall benefits—for both customers and drivers—are significantly higher, it said.
Given the market-leading position of Tata Motors, other industry players are unlikely to oppose the move. The company had a market share of 39.16% in the commercial vehicle category, in the year ended March 2023, according to data from the Federation of Automobile Dealers’ Associations.
Daimler India Commercial Vehicles, which sells premium trucks under the BharatBenz brand, said it has been ahead of the curve.
The company has seen penetration of air-conditioned trucks going up in its sales volume over a period as more and more customers understood the positive effects and embraced this change, Satyakam Arya, managing director and chief executive officer at the company, said in a statement.
‘Fewer Breaks, Efficient Driving’
The truck-driving business demands that drivers stay on the steering wheel for long hours, battling extreme weather conditions without much compensation.
“Lower fatigue levels of the driver will ensure fewer breaks and efficient driving with quick turnaround times,” Vinod Aggarwal, managing director and chief executive officer of VE Commercial Vehicles Ltd., told BQ Prime.
Truck prices should not rise more than Rs 50,000 a unit, and considering the acquisition cost is only 20% of the total operating costs of a truck in its lifetime, it won’t be a big rise, he said.
It is both a comfort and safety-related subject, because a fatigued rider means lower fuel efficiency and more accidents, Pradeep Singal, president of the All India Transporters Welfare Association, said.
The association, which claims to represent 65% of the organised Indian road transport business, expects asset utilisation to rise due to better working conditions.
One Of Many Issues
However, a majority of the truck drivers are employed by small fleet operators, who own less than five trucks.
The All India Motor Transport Congress, an association comprising mainly small fleet operators, also welcomed the move but said a lot more needs to be done.
“While this (AC cabins) will ensure better comfort for drivers, 50-60 lakh trucks are already plying on the Indian roads,” Kultaran Singh Atwal, chairman of the association, said.
This is just one of the many issues that affect the community, according to him.
Majority of the truck drivers are self-trained as there are only a handful of training schools, Atwal said. Truck drivers still drive for hours in the cabins that were designed decades ago, and ACs are just one of the concerns, he said.
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