TN govt nixes tender for 500 electric buses
Tamil Nadu's government has scrapped a tender for 500 electric buses funded by German bank KfW, citing financial unviability for state transport corporations. The administration is now seeking KfW's approval to adopt a 'gross cost contract' model. Under this, private operators will manage bus procurement, operation, and maintenance, with the government paying a per-kilometer fee, a system already in use in other major cities.
Tamil Nadu's government has scrapped a tender for 500 electric buses funded by German bank KfW, citing financial unviability for state transport corporations. The administration is now seeking KfW's approval to adopt a 'gross cost contract' model. Under this, private operators will manage bus procurement, operation, and maintenance, with the government paying a per-kilometer fee, a system already in use in other major cities.
