TN Budget 2024: Major overhaul as mini buses to traverse suburban areas

Mini bus operators have been demanding to increase the distance in service areas from 4 to 8 km in order to increase occupancy and revenue.
A mini bus in Chennai
A mini bus in ChennaiAshwin Prasath

CHENNAI: The mini-bus service scheme, launched 27 years back, is set to undergo an overhaul with revised guidelines to expand services in rural areas while regulating existing services. The fare for mini buses has remained unchanged since 1997, as bus operators charge Rs 10-30 per ticket on majority of routes.

Besides, only 50% of the 4,092 permitted buses are currently in operation, primarily due to challenges in revising permit regulations.

Minister Thangam Thennarasu revealed that mini bus services will be expanded to rural regions bordering rapidly developing urban areas accompanied by updated regulations. “Rules for the revamped mini bus scheme will soon be released after taking the concerns of all stakeholders into consideration,” said an official.

As per the existing permit rule, mini buses are allowed to run on a 20km route, of which 16km should be in remote areas where government or private buses are not operational.

A mini bus in Chennai
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Mini bus operators have been demanding to increase the distance in service areas from 4 to 8 km in order to increase occupancy and revenue.

The mini bus service scheme was launched by DMK in 1997 and later expanded in 1999. This scheme facilitated the introduction of bus services to hundreds of villages lacking bus connectivity.

However, in subsequent years, citing low occupancy, mini bus operators began operating their buses in locations where TNSTC town and private buses were already operational. Following the imposition of penalties by RTOs, the number of mini bus services gradually decreased in the last 15 years.

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