2 June : Orders for buying 7,815 buses have been placed by various States under the one time economic measure of funding of buses by the Ministry of Urban Development to boost their urban transport under the Jawaharlal Nehru National Urban Renewal Mission (JNNURM). Government has so far sanctioned purchase of 14,695 buses for the various mission cities under JNNURM.Andhra Pradesh has placed orders for 1500 buses, the highest number of fleet among the States followed by Uttar Pradesh, Maharashtra and Karnataka with orders for purchase of 1310, 1,250 and 1,100 buses respectively. The lot would consist of AC low-floor, non-AC low-floor, semi low-floor buses and mini buses. West Bengal has finalised the purchase of 710 buses. Delhi has ordered for 625 and Kerala for 320 buses so far under the scheme.
Under the second stimulus package announced by the Government on 2nd January 2009, it had been decided that States would be provided assistance under the JNNURM for the purchase of buses before 30th June 2009, in the form of grant. The financing is meant exclusively for city bus service and Bus Rapid Transit System (BRTS) for all Mission cities. The funding of buses under JNNURM will give a boost to automobile industry. The funding is shared by the Centre, States and the Municipal Bodies. The size of the Central allocation depends on the population density of the recipient Mission cities.
JNNURM bus project is an initiative by the Central Government to promote public transport and to reduce traffic congestion and pollution.