Chennai: The state government has decided to replace buses operated by State Transport undertakings, which were more than 10 years old. Presenting the Budget, Deputy Chief Minister O. Panneerselvam said the government would infuse '600 crore share capital in the transport corporations,
He said “in 2018-19, the State government will infuse share capital of Rs 600 crore in state transport undertakings for purchasing and inducting 3,000 new buses.
With the 2,000 new buses sanctioned in 2017-18 and with the proposal to induct 3,000 new buses, the government would replace all the 4,593 buses that have been in use for more than 10 years. The government committed to providing efficient and effective public transport system.
Panneerselvam said in 2017-18, the state government released Rs 2,519.25 crore to the STUs to tide over the severely stressed financial position and to settle the retirement benefit dues to pensioners, pending dues for existing employees. Panneerselvam said the government allocated '2,717.34 crore for the transport department, which include '799.25 crore as subsidy for free bus passes provided to students and senior citizens.
