Mumbai's Public Transport in Crisis: BEST Fails to Secure Rs 3000 Cr for New Buses

Mumbai's civic body allocates only Rs 800 crore to BEST, falling short of the requested Rs 3000 crore for new buses.

MumbaiPublic TransportBestBmcRs 3000 CrReal Estate MumbaiJul 23, 2024

Mumbai's Public Transport in Crisis: BEST Fails to Secure Rs 3000 Cr for New Buses
Real Estate Mumbai:The Brihanmumbai Electric Supply and Transport (BEST) undertaking has been facing a severe financial crunch, and its recent budget proposal has been met with disappointment. In its budget for 2024-25, BEST requested Rs 3,000 crore from the Mumbai Civic Body, primarily to obtain new buses. However, the BMC has allocated only Rs 800 crore for BEST in this financial year.

This shortfall in funding is expected to exacerbate the already existing public transport crisis in Mumbai. BEST has a fleet of 1,095 buses, with 2,022 buses on wet lease, which is significantly short of the 3,337 buses agreed upon in a 2016-17 agreement between unions, the undertaking's administration, and the Mumbai civic body.

The financial aid requested by BEST was mainly to procure new buses, which is crucial to improve the public transport infrastructure in Mumbai. The civic body's decision to allocate only Rs 800 crore has raised concerns about the future of public transport in the city.

Bhushan Gagrani, Municipal Commissioner, stated that Rs 800 crore has been allocated to BEST in the civic budget for 2024-25, which includes Rs 530 crore already provided and an additional Rs 132 crore as per the provision. The allocated funds can be utilized for capital equipment, loan repayment, renting new buses, day-to-day expenses, Diwali bonuses, and employee gratuity.

BEST has highlighted a deficit of about Rs 1,601.80 crore for 2024-25, which is likely to worsen if the undertaking is unable to secure the required funding. In the past, the BMC has provided financial help to BEST for purchasing new buses, paying electricity charges, and covering staff dues, amounting to Rs 8,500 crore in a phased manner since 2016-17.

The current situation has also brought to light the issue of pending dues to retired employees, with BEST owing around Rs 450 crore to them. The failure to secure the requested funding has raised questions about the long-term sustainability of Mumbai's public transport system.

Information The Brihanmumbai Electric Supply and Transport (BEST) is a public transport undertaking operated by the Municipal Corporation of Greater Mumbai (MCGM). It is responsible for providing bus services to the citizens of Mumbai.

The Municipal Corporation of Greater Mumbai (MCGM) is the civic body responsible for governing and administering the city of Mumbai. It is responsible for providing various public services, including public transport, to the citizens of Mumbai.

Frequently Asked Questions

How much funding did BEST request from the Mumbai Civic Body?

Rs 3,000 crore

How much funding did the BMC allocate to BEST?

Rs 800 crore

What is the primary purpose of the funding requested by BEST?

To obtain new buses

How many buses does BEST currently have in its fleet?

1,095 buses, with 2,022 buses on wet lease

How much does BEST owe to retired employees?

Around Rs 450 crore

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