Bengaluru set for 4,500 electric buses as BMTC tender nears award

Bengaluru is set to see a major expansion of its electric bus fleet, with three manufacturers likely to be awarded contracts to supply and operate 4,500 e-buses under the Centre’s PM e-Drive initiative. The Karnataka government has cleared the proposal to award the tender to the Bengaluru Metropolitan Transport Corporation (BMTC), paving the way for the next stage of the process.

According to BMTC sources, a Mumbai-based firm has emerged as the lowest bidder in the air-conditioned bus segment across both categories. The company has quoted ₹70.65 per kilometre for 300 low-floor 12-metre buses and ₹60.94 per kilometre for 100 low-floor 9-metre buses.

For the non-air-conditioned segment, a Gujarat-based company has quoted the lowest rate of ₹62.92 per kilometre for 3,500 low-floor 12-metre buses. Meanwhile, a Haryana-based firm has offered ₹55.55 per kilometre for 600 low-floor 9-metre buses, making it the lowest bidder in that category.

BMTC officials confirmed that these are the most competitive bids received so far. The corporation is now awaiting final approval from the State government to issue Letters of Award (LoA). A senior official said, “The government will decide whether to proceed with the current bids or initiate negotiations with the selected firms before finalising the contracts.”

BMTC currently operates a fleet of 6,982 buses, of which 1,754 are electric buses that operate under the Gross Cost Contract (GCC) model. Under this system, private operators own and maintain the buses, while BMTC pays them based on the kilometres operated.

However, concerns have been raised about the performance of privately operated e-buses. In October 2025, Karnataka Transport Minister Ramalinga Reddy wrote to Union Heavy Industries Minister H. D. Kumaraswamy, highlighting issues such as frequent breakdowns, driver strikes, and safety risks, and sought the Centre’s intervention.