We’ve missed your buses, Govt to Tata | autos | Hindustan Times
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We’ve missed your buses, Govt to Tata

autos Updated: Sep 04, 2009 22:53 IST
HT Correspondent
HT Correspondent
Hindustan Times
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Industrialist Ratan Tata is facing pressure from the Centre after his group slipped up in delivering 4,700 buses ordered by three state governments under the ambitious Jawaharlal Nehru Urban Renewal Mission, (JNNURM) to spruce up their public transport system.

The urban development ministry has shot off a letter to the Tata group chairman, seeking a clarification on the delivery of


The Tatas were supposed to delivery by June 30 as many as 4,700 buses ordered under the Jawaharlal Nehru Urban Renewal Mission.

The orders were given to boost public transport in three states and also to kickstart some demand in the government’s economic revival plan.

Tatas missed the deadline, with many buses not delivered.

the vehicles ordered by Delhi, Karnataka and Andhra Pradesh. The government had sanctioned about Rs 4,000 crore as a one-time grant under the JNNURM for the purchase of buses as part of the second stimulus package to revive the economy in February this year. States were allowed to purchase about 15,000 buses under the package.

“The ministry has written to Ratan Tata as the delivery schedule of buses for these states has not been good, “a senior official in the ministry told Hindustan Times on conditions of anonymity.

Tata Motors had sought an extension till September from the state governments for delivery of buses that were otherwise to be delivered in June.

“We are acting with alacrity to meet the delivery schedule. Delivery schedule is different in different states and we are trying to meet it,” a Tata spokesman said. The government in its announcement had promised to provide assistance to 63 cities under the JNNURM on the condition that the buses should be delivered if the delivery of buses took place before June 30.

JNNURM was launched in 2004 by the UPA government. The programme was aimed at bringing an integrated development of infrastructure services by providing adequate funds to meet the deficiencies in urban infrastructure services. This includes funding infrastructure projects relating to water supply and sanitation, sewerage, solid waste management, road network, urban transport, and redevelopment of old city areas.