— AGREEMENT TO SAVE ₹90 CRORE OVER FIVE YEARS: LALJIT SINGH BHULLAR
— MANN GOVERNMENT COMMITTED TO SAFE, SECURE, AND COMFORTABLE TRAVEL FOR PASSENGERS
Chandigarh, March 13:
In a major step towards fiscal prudence and efficient resource management, the Punjab Government signed a Memorandum of Understanding (MoU) with Indian Oil Corporation (IOC) for the supply of diesel to Punjab Roadways and PUNBUS buses for the next five years. The signing ceremony took place in the presence of Punjab Transport Minister Laljit Singh Bhullar.
Addressing the media at Punjab Bhawan after the MoU signing, Transport Minister Laljit Singh Bhullar highlighted that the agreement is expected to save the state exchequer approximately ₹90 crore over its five-year duration.
The MoU was formally exchanged between Rajiv Kumar Gupta, Director of State Transport and Managing Director of PUNBUS, and Ashutosh Gupta, Executive Director and State Head of IOC, in the presence of Transport Minister Laljit Singh Bhullar.
Minister Bhullar stated that the new agreement offers an increased discount, with IOC providing diesel at a rate of ₹2,550 per kilolitre. This marks a significant improvement of ₹570 per kilolitre compared to the previous agreement signed in 2019, which offered a discount of ₹1,980 per kilolitre.
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He further elaborated that the agreement will save Punjab Roadways approximately ₹9 crore annually. A similar MoU is set to be signed soon with the Punjab Road Transport Corporation (PRTC), which will result in an additional annual saving of ₹9 crore. Combined, these agreements will lead to total annual savings of ₹18 crore, amounting to ₹90 crore over five years.
Bhullar emphasized that this decision by the Chief Minister Bhagwant Singh Mann-led government reflects its commitment to fiscal responsibility and the efficient utilization of resources. “We are dedicated to providing high-quality, passenger-friendly services while ensuring the prudent use of public funds,” he added.
D.K. Tiwari, Additional Chief Secretary of Transport, noted that the MoU is the result of extensive discussions and negotiations, which will lead to substantial savings over the next five years.
This initiative underscores the Punjab Government’s focus on enhancing public transport services while maintaining financial discipline and ensuring the comfort and safety of passengers.
