Nagpur: With an eye on reducing the hazardous emissions from public vehicles, the Nagpur Municipal Corporation (NMC) is set to significantly expand its eco-friendly transport services by adding 400 air-conditioned electric buses to its Aapli Bus fleet in the next financial year. Over the next few years, the civic body aims to phase out all diesel buses, making the entire 600-bus fleet fully electric.
This move comes as part of the Rs 597.32 crore budget submitted by the Transport Department for 2025-26 to Municipal Commissioner and Administrator Abhijeet Chaudhari on Friday. The budget, presented by Transport Manager Vinod Jadhav, outlines plans for sustainable public transport and infrastructure development. The NMC currently operates 519 buses.
For 2024-25, the revised budget estimates revenue of Rs 509.31 crore and expenditure of Rs 505.81 crore. For 2025-26, the projected revenue is Rs 597.32 crore, with expenditure at Rs 596.70 crore, leaving a surplus of Rs 62.46 lakh.
To promote sustainable transportation, Chief Minister Devendra Fadnavis approved a Rs 137 crore grant for purchasing 250 standard AC e-buses at Rs 55 lakh per bus. The procurement process is complete, and NMC has partnered with Nagpur Transport Solutions Pvt Ltd for operations. These buses will gradually hit the roads by June 2025, with depots and charging stations being constructed on 4 acres in Wathoda and 3.5 acres in Khapri.
Additionally, under the 15th Finance Commission grant, NMC received Rs 72 crore, which was used to procure 144 AC midi buses equipped with ramps and accessible seating for differently-abled commuters.
Under the Prime Minister’s E-Bus Scheme, 150 midi e-buses have been approved for Nagpur. Of these, 75 AC buses will operate from the Koradi depot and the remaining 75 from Khapri, with operations expected to commence by July 2025. The Central Government will reimburse the operating cost at Rs 22 per km.
NMC will also receive Central funding for 25 articulated buses with 57-passenger capacity each. The depot for these buses will be constructed on a three-acre plot in Wadi, acquired from Panjabrao Krishi Vidyapeeth.
To support the growing electric fleet, NMC has allocated Rs 31 crore for constructing depots in 2025-26 and Rs 2 crore for land acquisition and infrastructure development. The operational expenditure for 2025-26 is projected at Rs 280 crore, while revenue is expected to be Rs 110 crore, leaving a deficit of Rs 170 crore, which NMC plans to cover through financial grants.
The Transport Department has partnered with Signpost India Pvt Ltd on a Build-Operate-Transfer (BOT) basis to construct 234 bus shelters. NMC receives Rs 14,600 per shelter annually as royalty, generating additional income.
Under the Nagpur Smart and Sustainable City Development Corporation Ltd. (NSSCDCL), 40 AC midi e-buses are already in service, offering improved public transport comfort and reducing carbon emissions.
The revised Transport Department budget for the year 2024-25 has earmarked earnings at Rs 509.81 crore which includes an earlier surplus, while expenditure is pegged at Rs 505.81 crore. For the financial year 2025-26 the earnings are expected to be Rs 597.32 crore, while an amount of Rs 596.70 crore will be utilised, leaving a surplus of Rs 62.46 lakhs.
As of now, NMC’s public transport fleet has 230 Midi e-buses, 150 diesel midi buses, 45 mini buses and 49 standard buses apart from the units lying in scrap. So a total of 519 buses are with NMC, and about 234 bus shelters are in place, and per bus earnings are Rs 14,600. Further 40 e-buses purchased by NSSCDCL were handed over to NMC, and they are in service. Similarly, 144 e-buses would be purchased by the civic body under the air quality control programme through funds from the 15th Finance Commission.