The article is written by Naman Sherstra from the Department of Law, University of Calcutta. The article deals with the detailed study of the street vendors act 2014. The facilities provided to the street vendors and how far the act has been implemented on the grassroots level has been depicted in the article. 

Introduction

The street vendors are a major part of the Indian informal economy. A statistical data served by the Ministry of Housing and Urban Poverty Alleviation shows that there are 10 million of the street vendors in India, where Mumbai, Kolkata, Delhi, and Ahmedabad accounts for more than 9 million of them. Mostly the street vendors are the migrants from the rural parts of India who come to the metropolitan cities for earning purpose. The street vendors are self entrepreneurs who provide very affordable rate products to the urban population. The major part of activities in the informal sector increases the goods supply chain of the industry.

Due to the absence of capital, these vendors occupy the government places like railway stations, bus stands and the public street at the marketing places. Being an unregulated practice the vendors had to collide with a number of problems like extortion from the police officers and eviction threats from the municipal authorities. In 2010, when the Commonwealth Games was held many street vendors were evicted from the area due to security concerns. This incident raised a huge outcry among the NGO and the vendors. This incident gave birth to the idea of protecting the rights of the vendor. The Act was tabled in the Parliament in the year 2012 by Union Minister of Housing and Urban Poverty Alleviation, Kumari Shailja. The full-fledged act came into power after the President’s assent in the year 2014. The Act majorly recognised the occupational rights of the street vendors and provided them privileges by the town vending committed against any kind of exploitation from ill elements and eviction threats from the administration.

The objective of the act

The Street Vendors (Protection of Livelihood and Regulation of Street Vending) Act, 2014 was enacted in order to legalise the vending rights of the street vendors. This Act was brought in consonance with the constitutional provision of Article 14 which states right to equality, and freedom to trade, profession, and business and enshrined under Article 19(1)(g) of the Constitution. The Act was framed to regulate the vending of the street vendors making a regulatory body for such vending, avoiding congestion on the footpath so that the traffic can be maintained freely. This Act envisaged a responsibility on the state to recognise the rights of the vendors and provide them with social security from any kind of infringement. Since, before the enactment of the Act, the vendors were considered as the encroachers on the public land, so the Act now recognised their rights of vending making their work legal.

Salient features of the act

The respective state government has been empowered to protect the vending rights of the street vendors. There is a “Town Vending Committee” constituted by the respective state government having members and chairman as specified under Section 22 of the Act. There is a local authority referred to as municipal corporation or Nagar panchayat which regulates the vending activities. The local authority works on the recommendation of the Town vending committee.

Important definitions

There are certain terminologies provided under the act. These are given below:-

• The term holding capacity in the act means the total capacity of the vendors who can be accommodated in a particular area. Such capacity is decided by the local authority on the recommendations of the Town Vending Committee.
• The term local authority refers to Municipal Corporation, Municipal Panchayat, or Nagar Panchayat or any kind of Civil authority appointed for the providing civic services, and regulating the street vending. It also includes the “planning authority” which regulates the land use in the city or town.
• Mobile vendors refer to the vendors carrying their vending activities moving from place to place selling goods and commodities.
• Town Vending Committee refers to a body constituted by the appropriate government under Section 22 of the act in the zonal area or ward having one or more than one in number as the government deems necessary.
• The term “street vendor” refers to the person who is engaged in selling goods, wares, foods, groceries or day to day use product in the street, lane, footpath, pavement, footpath, public park or any public place having his/her temporary construction which deems suitable for any kind of vending activities to be carried out properly.
• The term “vending zone” means any kind of area set by the local authority on the recommendations of the Town Vending Committee and such area shall include pavement, footpath, embankment, sidewalk, street lane or any public place which is considered for the purpose of street vending.

Town vending committee

The term “town vending committee” refers to a regulatory body under Section 22 of the act constituted by the appropriate government of the state. It can be one or more than one depending on the number of vending zones in the reason.

Role of committee

The committee plays an important role in recognising the rights of the street vendor. It works indirectly over the local authority making surveys in particular vending areas, setting up the holding capacity of that particular area. The committee also issues vending licenses to the vendors for carrying vending practices.

Composition

The town vending committee has a Chairman, and other members having their representation from the traffic police, medical officer, planning authority, an association of street traders, an association of market traders, community interest organisation and other such organisations which deems suitable for the welfare of the street vendor nominated by the Government. The Municipal Commissioner or the Chief Election Commissioner is the Chairman of the “town vending committee” as nominated by the appropriate government. Ten percent of the members of the town vending committee shall be appointed from the non-governmental organisation or community service-based organisations. In order to uphold the interests of the street vendors will be forty percent of the representation from the street vendors community who will be elected by the street vendors themselves. Out of forty percent, there will be a representation of one-third of the vendors representative shall be women and due prominence shall be given to the Schedule caste and scheduled tribe people. The appropriate government fixes the salary and allowances of the Chairman and the members of the committee. 

Power and functions

The “town vending committee” will organise a meeting from time to time with its jurisdiction concerning the framing of rules and regulations and carrying out of the business, discharging of functions. There will be an office for the committee and such space will be provided by the local authority of that area. The vending plans shall be prepared by the committee in consonance with the planning authority of the town, local authority for the purpose of carrying out proper vending activities.

Regulations for street vendors

Under Section 3 of the act, the town vending committee shall survey in the area where the street vendors are supposed to exist and such survey shall be done once in 5 years. The holding capacity of the street vendors shall be determined by the Town Vending Committee and it shall be two and a half percent of the total population of that ward or locality in the town or city. Under Section 4 of the act, the town vending committee shall issue the “vending certificate” to the vendors aged 14 years as prescribed by the appropriate government. It is provided that no street vendor shall be evicted in case he/she is left from the survey done by the town vending committee and not certified as provided under the act. However, it is provided that if any vendor has been granted a vending certificate or any kind of permission before the commencement of the act. Every vendor has to sign a declaration that he or any member of his family is running the vending work and it is the only means of his living. The vending certificate shall be issued after making such a declaration. However, it is provided under the act that the vendor to whom the certificate is issued dies or suffers from permanent injury any member of his/her family can use the certificate issued to him for the vending purpose.

Classification of vendors and issuance of the vending certificate

On the basis of vending work, the vendors have been classified into three types- mobile vendor, stationery vendor, and other types as provided by the scheme. The vendors shall be issued the certificate based on the area where they work provided with an identity card for recognition. Every vendor has to pay a definite certificate fee to the town vending committee for the purpose of issuance of the vending certificate, Such a certificate is issued for a definite period and shall be subject to renewal after the expiry of such period. In case, where the street vendor is found to indulge in the fraud, misrepresentation or carrying any kind of illegal practices under the guise of vending, the vending certificate of such vendor shall be cancelled for a period of suspended totally with a fine by the town vending committee as it deems suitable.

Appeals

There is a provision of appeal where the aggrieved party can approach the local authority for the issue of the vending certificate as provided under Section 6 of the act or cancellation of the vending certificate provided under Section 10 of the act. The parties shall be subjected to the “principle of natural justice” means that the “local authority” shall not dispose of the matter presented before leaving any vendor unheard.

Rights of street vendors in the act

Section 12 to 17 of the act recognises the rights of the street vendor. It provides that every vendor has the right to carry his/her business following the manner and the conditions mentioned in the certificate of vending. The vendor shall have to abide by the rules and regulations and escape from vending in the no-vending areas as provided by the town vending authority. Every vendor has to right relocate a new area for the practice of his street vending after consultation with the town vending committee. Where the vendor has been provided with the space on time basis the vendor will occupy the space within that time frame and vacate such space as the provided time frame ends. The street vendor is liable to maintain public hygiene and cleanliness and civic amenities near the vending area provided to him and ensure the protection of public property from any kind of damages. For the enjoyment of such services, he may have to pay certain maintenance charges as provided by the local authority.

Provisions of eviction and seizure 

The local authority has the power to declare any zone a non-vending zone on the recommendations of the town hall committee. The local authority can also evict any vendor who does not possess a vending certificate or vends after the expiry of the vending certificate. Such vendors shall be provided with a time of 30 days by notice to evict such a place. The local authority can physically evict or relocate such vendors, In case the vendor is found vending after the notice period he/she shall be liable to pay a fine which may extend up to two hundred and fifty rupees, not exceeding to the total value of his goods as determined by the local authority. In case of violating the rules and regulations of vending the vendor’s goods shall be seized on the order of the local authority making a list of such goods and providing the copy of such list to the vendor, in case of non-perishable goods the authority shall release the goods after two days of making claim while perishable goods shall be released on the same date of the claim. The reclaim of the goods shall be made after paying prescribed fees.

Disputes redressal mechanism for the street vendors

The appropriate government has the power to constitute one or more committees for the redressal of disputes of the street vendors under Section 20 of the act. Such committee consists of a Chairman who has been a civil judge or a judicial magistrate and the several other members having expertise. The aggrieved vendors can prefer to make an application before the committee. The committee can prefer to make an inquiry or to take any step for the redressal of the disputes arisen by the vendor.

In case the vendor is not satisfied with the decision of the committee the vendor can prefer to make an appeal before the local authority. The local authority shall try to dispose of the appeal in an expeditious manner adhering to the principle of natural justice.

Provisions of punishment

If the vendor is found to be indulged in any kind of vending activities without a vending certificate or contravenes the term and conditions provided in the vending certificate or contravene any kind of rules and regulations provided under the act such act is considered as an offence and the vendor is liable to be pay fine extending up to rupees two thousand rupees as specified by the local authority.

Power and role of Government

The appropriate government in consultation with the local authority and the town vending committee may ask to furnish the returns on time to time. The government in consultation with the town vending committee, local authority, vendors union, and the associations of the vendors provide the promotional measures of providing credits, insurance, and other welfare schemes to the street vendors. In case any state government makes any kind of amendment or brings any other law, such law shall override the provisions of the act.

Under Section 27 of the act, the appropriate government has the power to delegate any kind of function or power in writing to the local authority, town vender committee, or any other officer if the government deems it suitable. Such powers and functions shall be ex-officio. The Central government has the power to make amendments in the schedules of the act if on the recommendations of the state government the central government finds it necessary or expedient to do so. The central government has the power to make rules regarding the matters of the street vendors such as – appeals arising out of grievances, members appointed in the town vending committee, disposal of appeals before the local authority, and allowances to be paid to the town vending committee. Each rule and regulations made by the government shall be put before the parliament for a period of thirty days when the parliament is in session. Such modifications can only be made after getting clearances from both houses of the parliament.

 

In case of state amendment, the modifications shall be needed to pass in both houses in case the state has a bicameral legislature or in one house where the state has a unicameral legislature.

The local authority has the power to make bye-laws in respect of following matters.

• The rules and regulations of vending in vending free zones or restricted zones and designated zones.
• Determination of the amenities and the maintenance charges to be given by the vendors.
• Determination of the penalties and the collection of taxes and fees in the vending zones.
• Regulation of the traffic in the vending areas, regulation of the quality of goods provided to the public and maintenance of the hygiene and cleanliness in the vending zones.
• Regulations of the civic services and the other matters that deems suitable in the vending areas.

In case of arising any kind of difficulties arises which affects the provisions of the act the central government has the power to declare such provisions inconsistent with the provisions of the act if it is needed and expedient to do so. The notification of such order shall be published in the official gazette. However, no order shall be made after the lapsing of three years of the commencement of the act.

Critical analysis of the act

The NDA government had implemented this act as a part of their agenda to protect the rights of the street vendors. However, the act has faced a lot of criticism due to irregularities in its implementation in various metropolitan cities across the country.

Zero ground-level implementation

The regulatory authorities like local authority and town vending committee have failed in implementing the provisions of the act on the ground level. The studies on urban informality by Centre for New Economics Studies, O.P Jindal University has found several inadequacies in the implementation of the act in different markets of the prominent city of India, New Delhi.

Town vending Committee: diminished presence

The town vending committee is constituted under Section 22 of the act by the appropriate government for regulating the vending of the street vendors in the area. There is a provision of 40 percent of representation of the 40 percent of the members in the street vending committee from the street vendors community. The purpose of the TVC is to represent the interest of the vendors and protect the rights of the vendor.

However, a news report stating about the interview conducted with the vendors in different parts of the country mentions that the vendors are unaware about any kind of activity and the provisions of TWC, local authority and their rights. ON asking they mention that their disputes are resolved by the pradhan (market head of vendors) on informal negotiations with the police authorities and the administrations.  The major problem is the diminishing presence of the TWC in the areas. There are several municipal areas in the metropolitan cities where the vendors are totally unaware of the presence of the TWC or the local authority.

Street Vendors are often subjected to threat and extortion

In an informal economy and the unorganised sector, the street vendors are often subjected to the bribe by the police administration. An interview published in the wire an online portal stating the interview of various street vendors in New Delhi states that most often they have been demanded bribery by the policeman for vending. Such activities by the administration have proven the diminishing use of the act in the contemporary era.

Forced evictions in many parts of the Countries

There are several forced eviction drives conducted in the country. In New Delhi, near one of the most economic zones called Connaught place, the government forcefully evicted the street vendors. The goods of the street vendors were seized and even the court directed the government not to return the seizure goods even after paying the challans. Such steps of the judiciary after the government action left the poor vendors in a pathetic condition. However, Section 18 of the act provides the grounds of the seizure of goods and their reclaim. Such steps of the government are totally contrary against the provisions of the act as well as the Constitutional provision of Article 19(1)(g) which recognises the right to trade and occupation in different parts of the nation. Similarly, In Mumbai during 2017, a report published in the Hindustan times states that more than 58,000 hawkers were evicted by the BMC during the period of August to October. The hawkers were deprived of their vending licenses and other documents. Their goods were seized by the corporation. A similar kind of eviction programme was conducted in the whole of Mumbai in an arbitrary manner. Such actions are totally violative to the provision of the act where the vendors cannot be evicted from the non-vending zones or the free zones without permission of the Town Welfare Committee.

The Smart City mission policy of the NDA government has added fuel to such evictions in the whole city. This policy of changing the towns into more than 100 smart cities has affected the lives of the vendors. Under the guise of removal of encroachments, the state administration has evicted a number of vendors across the country.

                   

Lack of survey and smart cards distribution to the street vendors

There are various visible irregularities in the function of the Town Welfare committees in different cities. The members of the committee have shown responsibilities in discharging its functions. The local authority and the planning authority have failed in making surveys in metropolitans like New Delhi and Kolkata. There are several cities where irregularities in smart cards distribution and the issuance of vending certificates have been found. Such activities have opened the realities of the implementation of the act. 

Conclusion

The Street Vendors (Protection of Livelihood and Regulation of Street Vending) Act, 2014 was brought in order to recognise the rights of the vendors who are part of the informal economy. The act legalised the vending work done by the street and the mobile vendors and provided the manners in which the vending shall be done by the vendors and hawkers. However, the government’s intention of implementing the act didn’t work on the practical level as the situation of multiple arbitrary evictions across the country reflects it. The Government needs to implement the act on the ground level so that the rights of the vendors can be protected as provided by the Constitution under Article 19.

References

https://www.hindustantimes.com/mumbai-news/58-000-illegal-hawkers-evicted-from-mumbai-s-streets-from-august-to-october/story-muIlrLz9Wyo8BLLvoXxIyN.html

https://thewire.in/urban/street-vendors-hawkers-elections

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