Wet-lease contract with Hansa ends, BEST to operate 100 buses for affected passengers

Mumbai: The Brihanmumbai Electricity Supply and Transport (BEST) has prepared a contingency plan to accommodate over 3-5 lakh passengers daily who are affected by the ongoing withdrawal of 280 wet-lease buses by the Hansa Group.

Sources said around 100 buses, including the 12-metres long single deckers have been put into operation on 30 to 35 routes where the 280 buses plied to ease commuting for the affected passengers.

The decision was taken on Wednesday after talks with Hansa Group failed. BEST has now decided to initiate termination of the contract with the wet-lease operator.

Sudas Sawant, spokesperson for BEST, said, “In today’s (October 23) meeting, the wet-lease contractor has shown inability to execute this contract further. Hence the legal proceedings regarding termination of contract will be initiated shortly.” BEST officials said it will take around a week’s time for termination of the contract.

Considering that 280 buses will be redundant and lying unused, BEST has begun implementing their plan.

Everyday 2-4 lakh passengers were being ferried by these 280 buses covering the western, north-western suburbs and few even coming to central Mumbai. These 280 buses now stand parked in Oshiwara, Dindoshi and Marol depots.

“The complaints have reduced as longer buses are now plying these routes. However, the waiting period continues to be an issue as we are falling short by 180 buses. We will not be able to use these 280 buses as they are in poor condition and need thorough maintenance,” said a BEST official.

The undertaking has pressed buses into service during peak hours to address the problem of increased wait periods. With the wet lease buses out, BEST is also facing a shortfall of drivers who were originally working for the wet lease operator.

According to sources, the administration in Wednesday’s meeting heard the issues faced by the wet lease operator who maintained that interim relief by clearing outstanding amounts needs to be provided to resume services. The operator had pointed out that its increased maintenance expenses—the cost of manpower and assets with factors like passenger overcrowding putting pressure on the bus air-conditioners—and other elements had made wet-lease bus operations a costly proposition.

The officials said the option of running CNG or electric buses, whose per kilometre cost are lesser, was also discussed. Sources said diesel buses cost BEST ₹65 per km based on which wet lease operators are paid. The Hansa Group has claimed that BEST owes them ₹90 crore which has been withheld for various reasons.

It will be 10 days since the 280 buses operated by the Hansa Group on a wet-lease model for the BEST undertaking are off the road. BEST has asked manufacturers to increase the production capacity and improve the deliverables to compensate for the buses that are off-road. These 280 buses comprise around 9% of the total fleet of 3,211 buses.