Centre to unveil transport policy in a month

New Delhi: The government is planning to come out with a new transport policy, that will focus on innovation and reforms in the country's public transport system and will also have provisions for financial support for such initiatives, Union Minister Nitin Gadkari said on Thursday.

The minister also urged State Transport Corporations to switch to alternative fuels like CNG, LNG and bio-fuel like ethanol to save costs and reduce India's dependence on crude import which amounts to a massive Rs 7 lakh crore per annum.

"Within a month, a new transport policy will be declared. We will promote new innovations and research and there will be provisions for financial support to players who want to bring new technology and innovation," Gadkari said at International Conference and Exhibition on Public Transport Innovation 2020 at Manekshaw Centre here.

The Road Transport, Highways and MSME Minister said, the policy is being designed in such a fashion that it will focus on innovation and reforms and all obstacles on the way have already been removed.

"All clearances will be there for those showing innovation and research," he said and called upon State Road Transport Corporations to switch to alternative fuels for change in cost dynamics and promoting pollution free transport.

"Fuel change results in cost economics change," the minister said adding diesel buses can be converted into CNG-powered buses with a cost of barely Rs 3 lakh.

"CNG can be used for school buses and city buses while LNG can be used for long-route buses. Conversion of diesel buses into LNG costs Rs 8 lakh," he said.

He further said that "corporations should use alternative fuel instead of diesel. Using LNG will result in savings to the tune of 60 per cent. The life of diesel buses is 9 years and CNG buses is 15 years. Public transport buses in India need to be developed on the pattern of European countries."