The Ahmedabad Municipal Transport Service (AMTS), operating under the Ahmedabad Municipal Corporation (AMC), has presented a draft budget of ₹682 crore for the year 2025-26.

This comes despite the service being burdened with a debt of ₹4620.77 crore. Over the past two years, AMTS has been announcing plans for electric bus charging stations and parking facilities.

Currently,  seven electric double-decker buses are operational across various city routes. The authorities claim to run 1,172 buses. However, according to sources, only 927 buses are on the road.

The draft budget for 2025-26 includes a proposal to introduce 60 mini AC electric buses. AMTS has been under significant financial strain for over two decades due to loans from AMC. 

The service seems to prioritise operators running AMTS buses rather than city commuters. 

While the previous year's budget was ₹641.50 crore, this year’s allocation has increased by ₹40 crore. 

The proposed ₹682 crore budget allocates ₹348 crore solely for salaries, pensions, and establishment expenses. In 2024-25, AMC extended a loan of ₹410 crore to AMTS, and an additional ₹437 crore loan is planned for 2025-26. 

Despite the plans, AMTS’s revenue estimate for the year is only ₹238 crore. Notably, no AMTS-owned buses are currently operational.

The draft budget claims that 1,113 buses, including 118 operation-and-maintenance and private operator buses, will run during the financial year, with seven electric double-decker buses continuing to serve.

Key budget provisions:

- Introduction of 225 new AC electric buses to replace expiring contracts of CNG buses.

- Free travel passes for registered labourers under the Labour Welfare Board.

- Revamped mobile app for daily ticketing.

- Creation of a 100-bus charging and parking station at Jamalpur, and initiatives previously planned are reintroduced in this draft.

The draft budget does not address the impact of vigilance checks on revenue. Senior citizens face challenges renewing their passes, and no significant measures have been taken to address these concerns.

Loan and grants

By December 2024, AMC had provided loans totaling ₹4620.77 crore to AMTS. Moreover, under the Chief Minister’s Urban Bus Transportation Scheme, AMTS is expected to receive ₹130 crore based on a maximum subsidy of ₹18 per kilometer and ₹15 crore from AUDA (Ahmedabad Urban Development Authority).

Special provisions in the budget:

1. Increase in charter bus fares: 

   - The fare for special charter buses has increased from ₹2,000 for two hours to ₹4,500 for three hours. Outside Ahmedabad, the fare for three hours is ₹7,500. Religious trips now cost ₹3,000 instead of ₹2,500, and ₹5,000 for outstation religious trips.

2. Development projects:

   - Multi-modal transport hub at RTO.

   - 60 AC electric buses (12 meters) to be acquired under GCC (Gross Cost Contract) model.

   - Construction of 800 smart shelters and 300 mini shelters using grants from MLAs, corporators, and MPs.

   - Refreshment counters at Lal Darwaja on PPP (Public-Private Partnership) model.

   - Integrated terminal at Ghuma with grants under the Swarnim Jayanti Mukhyamantri Urban Development Scheme.

Despite these ambitious plans, significant challenges remain in operational efficiency, financial management, and customer satisfaction for AMTS.

Also read:

Double-decker buses, multimodal transport hubs, and more with AMTS budget 2024-25