NWKRTC Electric Bus Plans Stalled Due to High Bidding Costs

The North-Western Karnataka Road Transport Corporation (NWKRTC) electric bus project has hit a roadblock, leaving the residents of Hubballi-Dharwad and Belagavi waiting longer for cleaner, greener transportation options.
The corporation’s tender for procuring 350 electric buses has been cancelled after private bus operators quoted significantly higher prices than anticipated.
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Why the NWKRTC Electric Bus Tender Was Cancelled
NWKRTC had planned to introduce 350 e-buses under a Gross Cost Contract (GCC) model, which involves the service provider handling the procurement, operation, and maintenance of the buses.
However, the high costs proposed by the bidders made the project financially unviable.
Planned Deployment of NWKRTC Electric Buses:
City/Service | Number of E-Buses Planned |
---|---|
Hubballi-Dharwad (City) | 100 |
Belagavi (City) | 50 |
Intercity Services | 200 |
Total | 350 |
Despite these ambitious plans, NWKRTC had to pull back due to the high bidding costs.
Details of the NWKRTC Electric Bus Tender and Bidding
Under the GCC model, NWKRTC expected service providers to manage the following:
- Procurement of non-AC e-buses.
- Operation and maintenance of the buses.
- Development of charging facilities on NWKRTC-provided spaces.
- Provision of drivers for the buses.
NWKRTC itself would supply conductors and manage ticketing, paying a fixed rate per kilometer for bus operations.
Cost Breakdown: NWKRTC vs Private Operator
Service Type | NWKRTC Expected Rate (Rs/km) | Private Bidder’s Rate (Rs/km) |
---|---|---|
City Services | 54 | 85 |
Intercity Services | 47 | 73 |
The private firm’s quote was significantly higher. NWKRTC had already factored in conductor and management costs in their rates, while the private company excluded these costs. This discrepancy led to an additional Rs 15/km operational burden on NWKRTC.
An NWKRTC officer stated, “Since the tender was floated without any government subsidy, the board decided to cancel it due to the exorbitant rates.”
The Future of NWKRTC Electric Bus Services: Government Support Needed
While the immediate plan has been dropped, NWKRTC remains hopeful of launching electric buses in Hubballi-Dharwad and Belagavi under central government schemes. The corporation is actively seeking support through the PM E-Bus Seva and PM E-Drive schemes.
Government Schemes NWKRTC is Targeting:
- PM E-Bus Seva Scheme: Offers Rs 20 per km subsidy for electric bus operations.
- PM E-Drive Scheme: Provides subsidies directly to bus manufacturers, reducing the overall cost of procurement.
NWKRTC Managing Director Priyanga M mentioned, “We have proposed the names of Hubballi-Dharwad and Belagavi for these schemes. We hope the central government will approve the proposal soon.”
Success Stories of Electric Buses in Karnataka
Other cities in Karnataka, like Bengaluru, have successfully integrated electric buses under similar schemes. The Bengaluru Metropolitan Transport Corporation (BMTC) has introduced over 1,000 electric buses under the FAME-II scheme.
- 637 of these e-buses were manufactured by TML Smart City Mobility Solutions Limited, a Tata Motors subsidiary, at its Dharwad plant.
This success story shows that with proper subsidies and government support, NWKRTC can follow a similar path.
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What’s Next for NWKRTC Electric Bus Project?
Currently, NWKRTC is in a waiting phase, anticipating government approval for their subsidy proposals. If everything goes as planned, Hubballi-Dharwad and Belagavi could soon see electric buses on their roads, offering:
- Reduced carbon emissions.
- Lower noise pollution.
- More cost-efficient urban and intercity travel.
Until then, the dream of NWKRTC electric buses remains on hold, but the corporation is optimistic about a greener future for North-Western Karnataka.