BEST Receives Rs 1,000 Cr Support from BMC
In a significant move to reinforce Mumbai’s urban mobility infrastructure, the Brihanmumbai Municipal Corporation (BMC) has earmarked Rs 1,000 crore for the BEST bus services in its FY 2025-26 budget. This allocation, part of a comprehensive budget of Rs 74,427 crore—a 14.19 per cent increase over the previous fiscal year—underscores BMC’s commitment to addressing the financial challenges faced by BEST, the second-largest public transport system in the metropolis.
BEST, which operates a fleet of approximately 3,000 buses serving over 30 lakh commuters daily, has been grappling with financial strain for years, having accumulated losses estimated at around Rs 9,500 crore since 2012-13. The BMC budget document revealed that the Rs 1,000 crore will be utilised for a variety of critical initiatives, including infrastructure development, capital equipment purchases, loan repayments, wet lease buses, pay revisions, daily operational expenses, and the Intelligent Transport Management System (ITMS) project. In addition, the funds will cater to employee Diwali bonuses, pensioner dues, and electricity bill settlements, thereby aiming to stabilise and modernise the BEST operations.
The civic body also disclosed that, in line with state directives, it would contribute Rs 128.65 crore towards the procurement and deployment of 2,000 electric buses for Mumbai. However, it remains unclear whether this sum is part of the Rs 1,000 crore provision or a separate allocation. Further financial assistance details indicate that since 2012-13, BMC has disbursed over Rs 11,304 crore in support of BEST, reflecting an ongoing commitment despite the mounting fiscal challenges. Moreover, Rs 992 crore has been sanctioned by the 15th Finance Commission for electric bus purchases, with nearly half of that amount still pending disbursement.
Presented to BMC Commissioner Bhushan Gagrani by additional municipal commissioners, this budget marks the third consecutive year in which the proposal has been presented to an administrator, following the expiry of corporator terms in March 2022. This strategic financial infusion is poised to rejuvenate BEST, thereby ensuring enhanced connectivity and operational efficiency for Mumbai’s vast commuter base.
