Bengaluru: The much-awaited project of Karnataka State Road Transport Corporation (KSRTC) to provide intercity electric bus service from Bengaluru, the first-of-its-kind in the country, has suffered a jolt.

Officials said that the Union government, in a clarification, has stated that their priority is to provide electric bus service in metropolitan cities. Since the buses intended to be purchased by the KSRTC will travel between cities the, subsidy cannot be given to them. This has dampened the spirits of the KSRTC.

The KSRTC had planned to start the electric bus service between Bengaluru-Tumakuru, Bengaluru-Mysuru, and Bengaluru-Kolara, all within a 200 km range from the state capital. It wanted to purchase 50 buses and had submitted a proposal to the Central government seeking 50 per cent aid. However, the Central government denied the subsidy so, the KSRTC will drop the project for the time being.

Electric buses are ‘Environment-friendly’ and profitable to the KSRTC. At present, it purchases Volvo buses by paying Rs.1.10 crore. An electric bus costs Rs.2.50 crore but, a 50% subsidy was expected from Centre and 30-40 % subsidy from the state.

The Central government claims that as the KSRTC buses ply between cities, there will not be much pollution. But, KSRTC buses travel more within the city limits. Vehicle density is more on the Bengaluru-Mysuru, Tumakuru roads which causes pollution. So, their stance is not reasonable, said KSRTC MD Umashankar.