Delhi cabinet defers decision on private bus fleets

Delhi Cabinet deferred a decision on allowing private players to operate bus fleets on various routes in the city, on Monday. The Transport Department had launched a scheme to corporatise the private stage carriage operation of buses in Delhi as part of the Blueline phase-out.

Delhi Cabinet deferred a decision on allowing private players to operate bus fleets on various routes in the city, on Monday. The Transport Department had launched a scheme to corporatise the private stage carriage operation of buses in Delhi as part of the Blueline phase-out.

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The department has already identified 17 bus clusters each containing several routes. The cabinet, presided over by Chief Minister Sheila Dikshit, decided to take more time to study the scheme. Officials said the matter will be discussed at a high-level meeting on Wednesday.

As per the scheme the department will select a private entity for each cluster through a competitive bidding process.

Selected players will provide private carriage services under a suitable contractual structure. It is learnt that private operators, who will be required to procure low floor and semi low floor buses for the service, have sought financial subsidy from the government for 15 years.

The Finance Department is apparently against giving any subsidy to private players. The department has already finalised the operator for the first cluster route.