New metro bus contractor gears up

Punjab Masstransit Authority (PMA) is all set to say goodbye to Turkish contractor Albayrak Group as a local contractor has geared up to take over the Lahore Metro Bus service operations for the next eight years.

Speaking to The Express Tribune on Sunday, PMA General Manager Syed Uzair Shah disclosed that a local operator, Veda Transit Solutions, is all set to take over Lahore Metro Bus service operations in a couple of weeks. He highlighted that the new contractor had already procured 56 18-metre-long articulated buses for mass transit operations.

“The new contractor – a Raaziq Group company – is awaiting registration of buses and inspection through the Vehicle Inspection and Certification System. It is a matter of a few days, after which the PMA will formally inform the Turkish contractor to wind up its operations,” he revealed.

Responding to a question, he indicated that agitating metro bus drivers wanted the new contractor to hire all of them, besides their demands of prompt payment of their gratuity and bonus along with experience letters. By taking up the matter with the Turkish contractor, the authority had fulfilled one of the demands as it had issued experience letters to all drivers. Their other demands of outstanding payments would also be met, following which the PMA would reach the final settlement with the Turkish firm after handing over the operations to the new contractor, he maintained.

“The authority has no control over the recruitment policy of the private contractor. The new contractor is hiring serving and new drivers for smooth operations of the Lahore Metro Bus service. We have asked agitating drivers to submit their demands in writing as there is a split among them and everyone is trying to put pressure on the company,” he said and added that all their legit demands would be accepted.

Read PMA adds 64 new buses to metro system

Earlier in March, Veda Transit Solutions raised Rs2.6 billion, by signing a financing agreement with a consortium of banks led by the Bank of Punjab, for procurement of 64 new articulated buses for Lahore Metro Bus operations.

The group commenced mass transit operations in 2017, initially as a joint venture between Raaziq Group, Transit Associated and Pakistan Catalyst Fund (JS Bank + USAID) for operating the Multan Metro Bus feeder project. After gaining expertise in operating metro buses, it will now be managing the Lahore Metro Bus service for the next eight years.

Estimates suggest that the local contract would help the government to save around Rs2 billion in terms of improved costing and foreign exchange variation. It will also generate around 500 jobs for local people.

Punjab government has already announced a plan to revamp the public transport system in all big cities of the province. Last week, Chief Minister Sardar Usman Buzdar deliberated on recommendations about the launch of new transport system in different cities. He also reviewed a proposal to ply double-decker buses in big cities.

He directed officials concerned to present comprehensive recommendations before a provincial cabinet meeting for the final approval. He announced that the government had decided to introduce environment-friendly electric buses in Lahore, Faisalabad, Bahawalpur and Faisalabad.

Earlier this year, the Lahore Waste Management Company (LWMC) bid farewell to Turkish contractors and now the PMA is set to follow suit, apparently as the provincial government led by Pakistan Tahreek-e-Insaf (PTI) has decided to slash exorbitantly high costs of contracts signed during the rule of Pakistan Muslim League-Nawaz (PML-N).

Published in The Express Tribune, August 30^th, 2021.