Mumbai: BEST Seeks Rs 3,000 Crore from BMC for 2024-25, BMC Allocates Only Rs 800 Crore
Mumbai, 23rd July 2024: The Brihanmumbai Electric Supply and Transport (BEST) undertaking has requested Rs 3,000 crore from the Mumbai Civic Body for the financial year 2024-25. However, the Brihanmumbai Municipal Corporation (BMC) has allocated only Rs 800 crore for BEST. The request, made in December 2023 during the budget presentation, primarily sought funds to acquire new buses.
Municipal Commissioner Bhushan Gagrani stated that Rs 800 crore has been earmarked for BEST in the civic budget for the upcoming year. To date, Rs 530 crore has already been disbursed to BEST, with an additional Rs 132 crore to be provided as per the budget provisions. This funding can be used for capital equipment, loan repayments, leasing new buses, daily operations, Diwali bonuses, and employee gratuities. BEST has reported a deficit of approximately Rs 1,601.80 crore for 2024-25.
Since 2016-17, the BMC has been providing financial support to BEST for new bus purchases, electricity charges, and staff dues, totalling Rs 8,500 crore over time.
Currently, BEST operates a fleet of 1,095 buses, supplemented by 2,022 buses on wet lease. According to a 2016-17 agreement between the unions, BEST’s administration, and the BMC, BEST is required to maintain a fleet of at least 3,337 buses. Additionally, BEST is reported to owe around Rs 450 crore to retired employees.
