Mumbai’s cash-strapped BEST bus service eyes a ‘kayapalat’ with Rs 28,000-cr revival plan

The plan aims to modernise the public transport provider’s ageing bus depots and monetise them by converting them into commercial and residential hubs.

Mumbai, at present, has 2,792 BEST buses, which is far lower than the nearly 12,000 estimated going by the metropolis population | ANI File

Mumbai: The loss-making Brihanmumbai Electric Supply and Transport (BEST) undertaking has approved a Rs 28,000-crore revival plan to modernise its infrastructure and steer itself out of financial trouble.

The BEST committee’s plan called ‘Kayapalat’ aims to modernise the public transport provider’s ageing bus depots and monetise them by converting them into commercial and residential hubs. The cash-strapped undertaking plans to modernise 22 of 27 depots on prime land parcels across Mumbai as part of its initiative to convert the depots into mixed-use urban centres.

BEST has approved the plan, which will be sent to the Brihanmumbai Municipal Corporation (BMC) for its approval. It will subsequently go to the Maharashtra government for its final nod.

Under the Kayapalat plan, 22 depots across 132 acres will be converted into modern integrated hubs generating revenue for the loss-making entity. The public transporter owns 27 depots covering 190 acres.

With liabilities of Rs 14,323 crore, BEST requires Rs 13,561 crore to operate 5,000 buses. The plan is to raise Rs 28,000 crore, which will help pay off the liabilities, procure new buses and also help with employment-related expenses.

In the past, the BEST has redeveloped the Kurla depot and handed over the Dharavi and Kala Killa depots for the Dharavi redevelopment project. The Anik and Pratiksha Nagar depots are being given for the construction of the Metro 11 corridor.

“The public infrastructure created through this initiative will ensure a sustainable, regular and long-term revenue stream for the undertaking. The project will establish a dedicated Corpus Fund and a Recurring Fund to meet the undertaking’s long-term financial requirements smoothly,” a BEST official told ThePrint.

“This transformation project is expected to revive BEST—Mumbai’s lifeline—making it financially robust and capable of offering modern, efficient services to commuters.”

The official further said the plan would reduce BEST’s dependency on the BMC for financial assistance by creating its own revenue stream. The BMC has provided Rs 1,000 crore in assistance for the undertaking in the current financial year.

The first phase will focus on modernising bus depots and staff quarters, followed by the development of designated public parking and social infrastructure. The redevelopment will be carried out through the Design, Build, Finance, Operate, and Transfer (DBFOT) model under a public-private partnership (PPP) model, with land ownership remaining with BEST.

According to Trushna Vishwasrao, chairperson of the BEST committee, Mumbai needs at least 7,000 BEST buses for efficient functioning of the city. The city currently has 2,792 BEST buses. Based on the city’s population, Mumbai should have nearly 12,000 buses.

Officials said BEST has already ordered 1,500 midi buses for 2026-2027, which will arrive in four phases.

(Edited by Sugita Katyal)