Nagpur Municipal Corporation (NMC) has made a significant decision by terminating the contract with Delhi Integrated Multi-Modal Transit System (DIMTS) Ltd. According to a recent report from local media sources, NMC has appointed Mumbai-based Chalo Mobility Private Limited (CMPL) as the new operator for Integrated Bus Transport Management (IBTM) for Nagpur’s Aapli Bus service. This decision marks a significant shift in the management of Nagpur’s public transportation system.
According to recent reports, Chalo Mobility Private Limited (CMPL) has initiated the process of assuming responsibility will officially commence operations from May 1. The Nagpur Municipal Corporation (NMC) has agreed to a payment of Rs 215 crore over five years to CMPL, which surpasses the Rs 186 crore previously paid to DIMTS. Notably, 40% of CMPL’s remuneration will be contingent on its performance metrics, including increasing earnings per kilometre (EPKM) and passenger footfall. Additionally, the Rs 215 crore allocation encompasses Rs 113 crore earmarked for conductor appointments, as per the report.
Under the new arrangement, CMPL’s scope of responsibility will primarily focus on supervising bus operators and their respective depots. Moreover, CMPL will undertake the task of providing conductors, thereby eliminating the requirement for a separate ticketing agency. Previously, DIMTS oversaw the operation of six bus operators and two ticketing agencies.
During Vansh Nimay Infra Projects Limited’s (VNIL) management of the city bus service, daily passenger footfall stood at 1.50 lakh, a figure that dwindled to 1.20 lakh under DIMTS’s tenure. Unfortunately, efforts to augment commuter numbers were lacking, with significant oversights in vital areas such as route rationalization, leading to subpar experiences for bus passengers. Issues such as increased revenue pilferage due to insufficient monitoring, elevated operational costs, and limited utilization of Intelligent Transportation Systems (ITS) during bus operations persisted.
As an illustration, the report highlighted a scenario where the city bus fleet expanded from 350 to 420 in recent months, yet the revenue generated from city bus operations remained stagnant. With 40% of payment contingent on performance, the new program manager faces the imperative of enhancing the city bus service. This entails undertaking various initiatives, including bolstering service reliability, furnishing bus arrival updates through a novel passenger information system, introducing a smart card-based automated fare payment system, and providing app-based updates on bus availability and seat availability for preferred routes.