The system of vehicular transportation was introduced in Sikkim in 1944 known as Sikkim state transport. Subsequently this was renamed as Sikkim nationalized transport department in 1955. Unlike other state where the transport sector is looked after by road transportation corporations, in Sikkim, this is directly taken care of by the government department i.e. Transport Department.

As most of routes within the State were nationalized, prior to 1975 all passengers and goods were exclusively transported by SNT buses/trucks or under its supervision. However, the system has now been diluted after the extension and enforcement of Central Motor Vehicles Act. 1988. As, the Motor Vehicle Division of state is also a constituent part of the Transport Department, Government of Sikkim.