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Maharashtra Approves ₹6,500 Crore Plan For 5,000 BEST AC Electric Buses

Maharashtra government approves plan to procure 5,000 AC electric buses for BEST. The project will cost ₹6,500 crore and help BEST regain operational control.

Mumbai Alert · City Desk
Mumbai Alert · City Desk
City Desk · Mumbai Alert News · Wed, 22 July 2026 at 05:43 am
Maharashtra Approves ₹6,500 Crore Plan For 5,000 BEST AC Electric Buses

The Maharashtra government has approved a plan to procure 5,000 air-conditioned electric buses for the BEST Undertaking's owned fleet. The project, estimated to cost around ₹6,500 crore, was cleared on Tuesday after Deputy Chief Minister Eknath Shinde approved the proposal.

The buses will be inducted over the next three to four years and will help the undertaking regain operational control while reducing dependence on private operators. The approval is part of a long-term plan to build a fleet of 10,000 buses and comes amid growing concerns over accidents involving wet-lease buses.

BEST officials said they received the minutes of the Deputy Chief Minister's approval during the ongoing BEST Committee meeting on Tuesday. Confirming the development, BEST General Manager Sonia Sethi said the undertaking has received permission to procure 5,000 AC electric buses for its owned fleet.

The decision marks a significant departure from BEST's recent dependence on the wet-lease model, under which private contractors own, maintain and operate buses while BEST manages routes and fares. At present, BEST has a fleet of around 2,800 buses, of which only 249 are owned by the undertaking, while 2,551 are operated under wet-lease agreements.

Officials said the new procurement is intended to gradually restore a stronger owned fleet, giving BEST greater control over operations, maintenance and service quality. The financial model for the procurement is being worked out and is expected to be placed before the BEST Committee within the next few meetings.

The buses are likely to be inducted in phases over three to four years. At the same time, the undertaking has also sought a feasibility study on absorbing wet-lease employees, particularly drivers, into BEST service. The proposal has been referred to the Law and Judiciary Department and the Finance Department for examination.

To support the expansion, BEST is also looking at redeveloping its land assets. Officials said 23 bus depots spread across nearly 132 acres have been identified for redevelopment, which could generate significant revenue for the financially stressed undertaking. However, the proposal has drawn opposition from employee unions.

The approval of the plan is a significant development for Mumbai's public transportation system. The introduction of 5,000 new AC electric buses will not only improve the quality of service but also reduce the city's carbon footprint. The move is also expected to generate employment opportunities and stimulate economic growth.

In conclusion, the Maharashtra government's approval of the plan to procure 5,000 AC electric buses for BEST is a major step towards improving the city's public transportation system. The project will help BEST regain operational control, reduce dependence on private operators, and provide better services to commuters. The long-term plan to build a fleet of 10,000 buses will also contribute to the city's sustainable development and economic growth.

Frequently asked questions

How many buses will be procured by BEST?

5,000 air-conditioned electric buses will be procured by BEST.

What is the estimated cost of the project?

The estimated cost of the project is ₹6,500 crore.

bestmumbaielectric busesmaharashtra government
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