The Khyber Pakhtunkhwa government has conditionally approved the procurement of 50 new buses for the Peshawar Bus Rapid Transit (BRT) system from the Chinese manufacturer Golden Dragon.
However, the approval comes with an unusual demand — the company must first provide two buses worth Rs88 million free of cost before the full purchase is finalised.
The decision was made during a recent cabinet meeting chaired by Chief Minister Ali Amin Gandapur, where officials were informed that the BRT system was facing a serious shortage of buses affecting services across 18 routes.
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The cabinet was briefed that 220 buses were purchased from Golden Dragon in 2018, followed by 24 more units. To cover current operational gaps, the chief minister has called for the immediate addition of 50 new buses, especially on Khyber Road, Ring Road, and Bara Road.
Two procurement options were discussed: one under the existing 2017–18 agreement at a cost of Rs3.2 billion, which could save $2 million and be completed in six months; and a second option involving an international tender, which may take 18 months and cost up to Rs5.6 billion.
A cabinet committee, led by the provincial finance advisor, has been tasked to negotiate with the supplier for the free buses and finalize the deal under the older agreement. If the company agrees, the purchase will proceed without applying KPPRA rules. Otherwise, the government will opt for the longer tender process.