BENGALURU: As the Gross Cost Contract (GCC) model is cheaper than going for direct procurement, Bengaluru Metropolitan Transport Corporation (BMTC) which was earlier planning to buy ten double-decker buses, has now decided to adopt GCC model to operate double-decker electric buses.
BMTC MD Sathyavathi said that they took the decision to go for the GCC model in operating the double-decker buses, as procuring them directly will be a huge financial burden on the cash-strapped bus corporation.
Under the GCC model, BMTC will only have to provide a conductor. The entire operations, maintenance, and drivers will be provided by a private party, and a fixed operation cost is paid to the private supplier on a kilometer basis.
Officials from the bus corporation revealed that there were multiple attempts to bring back double-decker buses in Bengaluru and tenders were floated for the purchase of ten buses, and Switch Mobility the Electric Vehicle arm of Ashok Leyland, who were the lone bidders had quoted Rs 10 crore to supply five buses.
However, the tender was scrapped after the Congress government took charge, citing that the bidder has quoted a high price. The BMTC was gearing up to invite fresh tender in September, but now, wants to go for operations under the GCC model.