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Increased focus by central and state governments on improving the road network and transportation under the Bus Rapid Transit System (BRTS) has provided a boost to bus purchases, helping the segment buck the broader demand trend.
Implemented in Ahmedabad, Pune, Rajkot, Bhopal, Indore, Surat and Amritsar, the BRTS has found several takers. Its acceptance as a smarter and cheaper alternative to the metro rail have pushed several state governments to adopt it.
India’s largest medium and heavy (MHCV) bus makers, Ashok Leyland and Tata Motors control, 76% of the bus market. The segment posted nearly a 10% rise in sales during April-November from the same period last year, according to the Society of Indian Automobile Manufacturers. This is even as the MHCV segment’s growth remained flat during the same period.
BRTS uses existing road networks in cities, though heavily congested ones like Mumbai and Bengaluru have space challenges and the system might not work. However, most ‘smart cities’ announced by the government will have a BRTS.
The system works on dedicated bus corridors on arterial routes within a city or connecting two or more cities. It has bus stations and automated fare collection centres, like the Janmarg system adopted by the Gujarat government for Ahmedabad. Buses are low floor, automatic transmission and their doors do not open unless allowed by the driver.
Ravindra Pisharody, executive director, Tata Motors, said, “The BRTS requires a lot of planning because it is a change of habit for the pedestrian also. You need to create dedicated lines in which you have to prevent other vehicles from entering. There is a lot of talk about the BRTS by the Centre and the message is being passed on to states. We are seeing lots of interest from states”.
Tata Motors’ domestic medium and heavy bus sales rose 17% in April-November to 11,221.
It has bagged an order for supplying 5,000 buses under the BRTS, which is a growth of 82%, according to company executives.
“Government activity is picking up. If you see the government purchases last year, these were the weakest in a long time. This year, the government purchases have been quite high. The next three years will be very good for bus purchases. It has been subdued for the past few years but we see the situation improving,” Pisharody added.
According to Tata Motors, Ahmedabad, which has a network of 97 km in a BRTS, is buying 300 buses every year. The city now has 250 buses running under Janmarg and is rapidly expanding its network. Janmarg has a higher average peak hour speed of 25-30 kmph against 9-17 kmph for other traffic.
According to a study by the National Institute of Urban Affairs and CIDCO, about 20 cities will have 28 bus mobility projects, which will be developed at a cost of $200 million (Rs 1,400 crore). At least nine of the 63 eligible cities in India have adopted the BRTS.
Hubli-Dharwad in Karnataka will soon have a network of 22 km under a BRTS. The system will have open and closed bus corridors, an automated vehicle tracking system and an off-board fare collection system.
