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Govt to Procure 746 New CNG Buses
The New Indian Express Villupuram
|April 24, 2025
The daily loss incurred by the eight state transport undertakings has increased from ₹17.7 crore in 2023-24 to ₹18.9 crore in 2024-25 (up to February).
The mounting debts are primarily attributed to not revising ticket fares since January 2018, which is cheapest in south India, increasing operational costs and fuel expenses, salaries to employees and other benefits. Meanwhile, the transport department has decided to procure 746 buses powered by Compressed Natural Gas (CNG), which is 12-14% cheaper than high-speed diesel. Additionally, 1,000 diesel buses will be retrofitted to operate on CNG.
The move to run 1,746 CNG buses will not only build an eco-friendly transportation network but also is projected to yield annual savings of ₹116 crore towards fuel expenses. The switch to CNG is expected to reduce carbon dioxide emissions by approximately 37,190 tonnes annually, contributing to environmental sustainability and potentially generating revenue through carbon credits, as per the documents presented in the Assembly.
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