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January 02, 2025

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Hindustan Times Mumbai

Amid questions over rental rates for MSRTC, CM stays decision taken by his predecessor

- Saurabha Kulshreshtha

MUMBAI: A month after assuming charge as chief minister, Devendra Fadnavis has dealt deputy chief minister Eknath Shinde a blow by raising questions about a decision taken by the latter when he was chief minister and also held the transport portfolio in the previous Mahayuti government. Fadnavis on Monday stayed a decision by Shinde to rent buses for the Maharashtra State Road Transport Corporation (MSRTC), taken in September last year. In doing so, he has also underlined his authority in the new Mahayuti alliance government.

After the new Mahayuti government took charge recently, Fadnavis has been reviewing the work of every department and discussing their plans for the government's first 100 days in office. He stayed Shinde's decision on Monday, while taking stock of the transport department, after being given a presentation.

During the presentation, officials told Fadnavis that MSRTC had recently given a letter of intent (LoI) to three private companies for the hiring of 1,310 buses, at ₹34.70 to ₹35.10 per km, excluding the cost of fuel. It was pointed out that, in 2022, MSRTC had hired buses at ₹44 per km, fuel cost included. The officials said that if one took into account the cost of fuel at ₹22 per km, the cost of each bus would be ₹56 to ₹57 per km. This would amount to ₹12 to ₹13 per km more than the previous agreement.

"Armed with these details, the chief minister stayed the hiring process of 1,310 buses and also asked the additional chief secretary to inquire into the matter and submit a report," said an official present at the meeting.

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