Chennai Metropolitan Transport Corporation (MTC) has suddenly cancelled the tender floated to procure 300 air-conditioned electric mini buses. The cancellation came just a day before the bids were scheduled to be opened, raising questions as no clear reason has been stated.
MTC currently operates about 3,400 buses across more than 650 routes, carrying around 3.4 million passengers daily. In recent years, the corporation has been expanding mini-bus services to connect key local corridors such as Metro stations and bus terminals.
As part of a broader shift away from diesel, the transport undertaking has been planning to increase electric and CNG buses, citing an expected 40% reduction in operating costs. With private participation, around 620 electric buses are already in service in Chennai, and tenders have also been floated for low-floor and AC electric buses.
Last week, the Tamil Nadu government cancelled an earlier tender for 500 new electric buses—planned for Chennai, Madurai and Coimbatore—after discussions noted that purchasing new buses could add to the transport department’s debt burden. Now, with the 300 AC mini-bus tender also cancelled, officials say another tender to procure 1,000 electric buses for Chennai is due to be opened on July 13, prompting fresh uncertainty over what will happen next.
