While precise financial calculations for future electric bus procurement are pending, sources indicate that replacing the 358 diesel buses will yield significant financial advantages.
By 2026, Chandigarh Transport Undertaking (CTU) will complete its transition from diesel to electric buses, currently running across Chandigarh, Panchkula, and Mohali (Tricity). This initiative promises significant environmental benefits while generating substantial cost savings for the UT's transport department in operating public transport across the Tricity.

The transport department records revealed that 358 diesel buses are currently operating on scheduled routes in the Tricity, comprising 188 large and 170 small buses. These vehicles will reach their 15-year service limit by 2026. The UT administration has devised a strategy to replace this entire diesel fleet with electric buses.

"The Chandigarh administration has prepared a detailed plan to replace diesel buses with electric vehicles (EVs) completely. The matter was discussed with the Union ministry of housing and urban affairs (MoHUA) recently. The entire plan was shared with them, and the central govt is convinced of the idea to shift the diesel buses to electric buses. These new electric buses will be taken for a period of ten years on a rental basis, including the driver. After that, diesel buses will only be seen on long routes to other states and cities," an official of the UT told TOI.

While precise financial calculations for future electric bus procurement are pending, sources indicate that replacing the 358 diesel buses will yield significant financial advantages. The administration's experience with their existing 80 electric buses suggests favourable rental rates, particularly given increased market competition among suppliers.

"Currently, the transport department of the UT administration is spending INR 85 per kilometre per bus for the large 188 diesel buses running in Tricity and INR 69 per kilometre for small diesel buses. But as per past experience and competition in the market, the department is expecting the cost of all electric buses to be around INR 60 per bus per kilometre," sources said.