Shiny new wheels: Daewoo seeks approval to start service in city

Prior to Korean company’s application, plans with Belgians were in the works

PESHAWAR: Foreigners might not venture to the city often enough but their investment may soon be on the roads in the form of a bus service. Daewoo (jointly owned by Korean and Pakistani investors) has expressed an interest to offer intra-city services. Recently, Daewoo filed an application with the Regional Transport Authority (RTA), seeking approval to start a separate bus service in the city.

If it acquires a licence, its buses would be seen on Ring Road, RTA Secretary Naimatullah told The Express Tribune on Thursday. He said they were hoping to reach an agreement with the company soon. “The competition would be tough as the government is trying to attract foreign investors, especially in the transport sector.”

Foreign wheels

Talks of Belgian transport company Bucephalus launching a bus service in Peshawar have started making the rounds yet again. Chief Minister Pervez Khattak had given approval for the project before Eidul Fitr. He allowed the RTA to ink an agreement with the company and launch the service as soon as possible.

Khattak had given a preliminary go-ahead for the project in 2014 at a meeting where the company’s chairman Guillaume Jamart was also present. But the project has not been launched yet as, according to a senior officer of the transport department since transporters had gone to the court and got a stay order against it.

The officer who requested anonymity said the service was to be launched in June. He added the stay was given during Ramazan. “However, the incumbent provincial government has started working on replacing the old transport system that has threatened the environment of the city.”



As recently as January, transporters had expressed their dismay at the government’s plans to revamp public transport, including plans to reduce pollution by upgrading vehicles. At the time, K-P Special Assistant to CM for Transport Malik Shah Muhammad Khan Wazir said the government had signed an MoU with a private transport company from Belgium. “The Belgian vehicles will soon be on the roads and all [public transport] vehicles registered before 1995 will be banned from Peshawar,” he had told The Express Tribune.

Completion of project

The officer said it would take time for the Bucephalus project to complete as the company has to build terminals at both ends of the city, along with workshops and bus stands.

“It would be 100% private investment which would provide jobs to at least 800 people,” he added.

Since there would be competition, Naimatullah said, the “transport mafia” expressed willingness to bring new vehicles on roads. However, he said if owners of the old buses want to compete they would have to work on their old buses and, for this, RTA would provide them financial assistance with which they can renovate their vehicles.

“RTA has renovated an old bus and the cost came up to Rs0.5 million,” he said. “We have shown it to the transporters and if renovate their buses along a similar pattern then we would help them in many areas.”

For locals

After RTA finalises details with officials of Bucephalus, 50 buses will be provided in the first phase of the project for a trial on University Road. The fleet would comprise 200 minibuses that would enter the system in phases during the next five months. The company would bear the cost of $200 million for the buses.

The buses are said to be assembled in Moscow. “They would be air-conditioned and some of them would also run only for women on an experimental basis,” said Naimatullah. He added the fleet comprised mini buses to avoid traffic problems in a city where there are narrow roads.

Published in The Express Tribune, August 1^st, 2015.