To reduce urban pollution, the Thane Municipal Corporation (TMC) and Thane Municipal Transport (TMT) plan to introduce 180 eco-friendly AC electric buses. However, this scheme is likely to place a significant financial burden on the municipal treasury.
Deficit of ₹430 Crore Over 12 Years
According to the official proposal, the projected cost for the operation and maintenance of the 180 AC electric buses over a 12-year period is approximately ₹1,096.36 crore.
During this same period, revenue from ticket sales is estimated to be only ₹666.11 crore. Consequently, a deficit of approximately ₹430.25 crore is anticipated. Ultimately, the Thane Municipal Corporation will have to cover this shortfall.
Annual operating cost: Approximately ₹91.36 crore
Annual ticket revenue: Approximately ₹55.51 crore
Annual deficit: Approximately ₹35.85 crore
Proposal to Hike Fares to Bridge the Deficit
A proposal has been made to increase passenger bus fares to mitigate this deficit. If the fare hike is approved, the annual deficit could decrease by about ₹19 crore, bringing the average annual loss down to approximately ₹16 crore.
However, TMT bus fares have not been raised since July 2015. Proposals for fare hikes had been submitted previously due to rising fuel costs and administrative expenses, but they were repeatedly rejected.
Composition of the 180-Bus Electric Fleet
Considering the growing demand on high-ridership routes like Ghodbunder Road, the proposed fleet will consist of:
Substantial Expenditure for Charging Stations Too
The TMC has received a grant of ₹64.52 crore for the procurement of e-buses under the 15th Finance Commission's 'Clean Air Action Plan'. This translates to an average subsidy of approximately ₹35.84 lakh per bus.
However, beyond the purchase of buses, significant investment will also be required for charging stations, electrical infrastructure, and civil works at the depots.
Kolshet Depot:
Kalwa and Chhatrapati Shivaji Maharaj (Mullabag) Depots:
Thus, while the electric bus option is crucial for eco-friendly transport, the TMC and TMT will face the challenge of bridging the significant financial gap involved in their operation.