Himachal is geographically so situated that it has got three different regions viz. high hills in inner Himalayas, mid-Himalayan ranges and foothill plains. The inner Himalayan ranges have the least population density whereas it increases as the height decreases being well populated in the foothill plains. Thus, traffic density is accordingly dictated and so is the road network. The operation of HRTC expanded as the road network expanded or enlarged in the last 50 years leading to expansion in its fleet.

The top priority that the State Govt. had, from one plan to another, was to connect far-flung areas of the Pradesh so that the road transport could become basic infrastructure for development. The case, in example, is the expansion of road network in the apple belt in Himachal where large tracks of land came under orchards and to unload to its produce in the market. As a result, a wide network of road was built in the last 50 years which not only provided the mode of transportation for the farm produce, but also the infrastructure for essential services like education, health etc. The hardship that the HRTC encountered was that its operation expanded more in the far flung areas and on newly constructed roads which led to less utilization of stock, higher expenses on operation and lass yield in revenues. Case in example, is the HRTC operation in tribal areas of H.P. viz. district of Kinnaur, district of lahaul & Spiti and pangi and Bharmour Sub-divisions of Chamba district. During early sixties, disassembled jeeps were taken across Rohtang Pass ( 13,000 feet height), reassembled within the valley and then operated as buses. Inputs for operation like fuel, spare-parts were carried on human backs to the valley. At present, though a road exists across the Rohtang Pass, which closes to traffic from October to June whereas the valley remains open for operation till December and reopens for operation in April. Thus, around 14 vehicles are stranded in the valley from December to April without any operation. The staff is ferried by helicopter in December every year to Kullu and carried back to the valley in April in the same manner. The operations thus are not, only highly uneconomical, but also are hazardous. The operations in this valley are essential for intra-valley movement for normal human needs like education, health, supplies etc. Thus, benefits, though accrue to the residents of the valley, but leads to aggravation of losses to the Corporation. Similar is the situation in operation in the valley of Kinnaur where the operations touch the height of 15,000 feet almost for 10 months in a year. Operations in valley of Kinnaur acquire more importance for obvious reasons as it is situated on the border with Tibbet. Even today, the operations in the valley of Pangi are met with the mini buses and jeeps. In the socio-economic situation that accrue in the State today, one cannot think of economics of operations as the benefits that accrue to the people by the bus services are of vital importance to the economy of these areas. To quantify these benefits that accrue to the people is a matter of study. However, indicators of level of education, accessibility to health services etc. are evident from the statistical figures published by the State Government.

The operational jurisdiction of the Corporation is divided into four Divisions ( Located at Shimla, Mandi, Hamirpur and Dharamshala ) having 23 depots ( Located at Shimla-1, Shimla-2, Shimla-3, Rampur Rohru, Recongpeo, Solan, Nahan, Bilaspur, Una, Dehra, Nalagarh, Hamirpur, Sunder Nagar, Sarkaghat, Kullu, Mandi, Keylong, Baijnath, Palampur, Dharamshala, Pathankot and Chamba ). These depots are supervised and controlled by the Regional Managers.

Besides its operation in the entire Himachal Pradesh including tribal districts of the State, HRTC operates its buses in neighboring States of Punjab, Haryana, Rajasthan, Uttar Pradesh, Jammu & Kashmir, Union terrirories of Chandigarh and Delhi. Further, it has acquired distinction to ply its buses to the highest village of the Asia and also its buses cross through the three Worlds highest passes namely; Bara-Lacha, Kunjam and Rohtang. HRTC is plying its buses in remotest area of the pradesh, which includes Kuchha and dangerous roads, where private operators hesitate to ply the buses.