Fadnavis shows Shinde who’s boss, orders probe into decision on MSRTC buses

MUMBAI: A month after assuming charge as chief minister, Devendra Fadnavis has dealt deputy chief minister Eknath Shinde a blow by raising questions about a decision taken by Shinde when he was chief minister and also held the transport portfolio in the previous Mahayuti government. Fadnavis on Monday stayed a decision by Shinde to hire buses on rent for the Maharashtra State Road Transport Corporation (MSRTC), taken in September last year. In doing so, he has also underlined his authority in the new Mahayuti alliance government.

After the new Mahayuti government took charge recently, Fadnavis has been reviewing the work of every department and discussing their plans for the government’s first 100 days in office. He stayed Shinde’s decision on Monday, while taking stock of the transport department, after being given a presentation.

During the presentation, officials told Fadnavis that MSRTC had recently given a letter of intent (LoI) to three private companies for the hiring of 1,310 buses, at ?34.70 to ?35.10 per km, excluding the cost of fuel. It was pointed out that, in 2022, MSRTC had hired buses at ?44 per km, fuel cost included. The officials said that if one took into account the cost of fuel at ?22 per km, the cost of each bus would be ?56 to ?57 per km. This would amount to ?12 to ?13 per km more than the previous agreement.

“Armed with these details, the chief minister stayed the hiring process of 1,310 buses and also asked the additional chief secretary to inquire into the matter and submit a report,” said an official present at the meeting.

Fadnavis’s decision has raised questions about the merit of Shinde’s decision as the tender process was initiated in September 2024, when he was chief minister and when he headed the transport department. Also, Bharat Gogawale, a close associate of Shinde, was appointed MSRTC chairman in September 2024. In December, the MSRTC issued LOIs to three private companies.

During the winter session of the state legislature, leader of the opposition in the Legislative Council Ambadas Danve had drawn attention to the rates quoted by the private companies for rental bus schemes. Shinde refuted the charge that the rate was exorbitant and claimed the process was transparent. He had said, “I want to make it clear that ST corporation had not issued a tender with ?60 per km. ST had invited bids for a total 1,310 buses on rental basis, which includes 450 buses for Mumbai-Pune, 430 buses for Nashik-Chhatrapati Sambhaji Nagar, and 430 buses for Nagpur-Amravati. Accordingly, City Life Line Travels, Travel Time Mobility India and Antony Road Transport Solutions have submitted bids.”

Shinde continued, “On December 13, president of ST corporation held a meeting and project consultant PMG negotiated and suggested ?35.70 per km as the rent, and all the companies submitted revised rate proposals. City Life Line submitted a proposal with ?35.10 per km, Travel Time Mobility India ?34.70 per km and Antony Road Transport Solutions ?34.70 per km. Accordingly, Letters of Intent have been issued to these companies.”

Fadnavis’s decision to stay the rental bus scheme has raised eyebrows in political circles and is also seen as a blow to Shinde and his close aide, Bharat Gogawale, as he helmed MSRTC when the tenders were under process.

Asked to comment on the matter, the new transport minister and Shiv Sena leader Pratap Sarnaik said, “Although the process was initiated when Eknath Shinde was in charge of the transport department, the code of conduct was in place and only officials of the MSRTC had the authority to take decisions in this matter. So whatever happened, took place at the officer level. If LOIs were issued without the knowledge of the state cabinet, it is not acceptable. The state government will take appropriate decisions after getting the details,” said Sarnaik.