Ahmedabad

Public Transport or Civic Asset? ₹11.64 Crore Spent on AMTS Buses for Government Programmes

By GS Team
25 Aug 20262 mins read
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Ahmedabad Municipal Corporation paid ₹11.64 crore from public funds for AMTS buses transporting people to high-profile government events. This sum was adjusted against AMTS loans, generating revenue for AMTS but burdening AMC. The deployment led to reduced regular bus availability, inconveniencing daily commuters. Concerns rise over public fund usage and service disruption for government programs.

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Public Transport or Civic Asset? ₹11.64 Crore Spent on AMTS Buses for Government Programmes

The Ahmedabad Municipal Corporation (AMC) has paid ₹11.64 crore towards the use of AMTS buses for transporting people to government programmes attended by the Prime Minister, Union Home Minister and other dignitaries.

The expenditure means the cost of deploying buses for these government events was ultimately borne by the AMC treasury, and therefore public funds.

₹11 Crore Adjusted Against AMTS Loan

AMTS buses have been allocated for transporting citizens to government programmes, for which the corporation was required to pay the bus charges.

AMTS Committee Chairman Parag Naik said that out of the pending amount, ₹11 crore has been paid by the AMC to AMTS. According to him, the corporation provides loans to AMTS every year, and the amount has been adjusted against the repayment of that loan.

Buses Deployed For Events, Regular Routes Affected

AMTS buses were used to transport citizens to government programmes involving the Prime Minister, Union Home Minister and other dignitaries.

However, the deployment of a large number of buses for such programmes reportedly reduced the availability of buses on regular routes on some days.

Complaints were raised that daily commuters had to wait longer for buses and faced difficulties during their journeys as buses were diverted for government programmes.

AMTS Earned Revenue, AMC Paid The Bill

The arrangement has resulted in AMTS receiving revenue for providing buses for government programmes, while the payment for those services was made by the AMC.

The civic body also provides loans to AMTS every year to support its finances. According to Naik, ₹11 crore from the pending bus charges for government programmes has been adjusted against AMTS's loan repayment.

Thus, while AMTS received the benefit of bus-fare revenue, the expenditure was ultimately settled through AMC funds. Meanwhile, concerns have also been raised over reduced bus availability on regular routes during periods when large numbers of AMTS buses were deployed for government events.