Himalayan News Service

Kathmandu, March 17:

Environmentalists speaking at a workshop organised by the Kathmandu Electric Vehicle Alliance (KEVA) said that trolley bus service can generate profit if the present management is revamped.

The workshop was organised to discuss a business plan that was prepared on the basis of a study undertaken in 2002 by the CEMAT Ltd.

Megesh Tiwari, programme associate, KEVA, said they have developed the plan for the private sector to invest in trolley buses which has low upfront investment, high returns, short payback periods, low risk, conservative assumptions, environment-friendly and rich in health and economic benefits.

The 20-year plan assumes to own 22 trolley buses, each making eight trips a day and 144 passengers per trip that would run for 300 days a year.

The total project would cost Rs 40.05 million. With the fair fixed at Rs 6 per passenger, the project would earn Rs 45.62 million annually and gross operating project per year would be Rs 13.43 million. This means the accumulated profit would be Rs 148.22 million at the 20th year.

Bibek Chapagain, country coordinator, KEVA, said that private parties may join hands with the municipalities to make the operation of trolley buses a successful business plan.

Bhushan Tuladhar, executive director, Clean Energy Nepal, said that private parties may collaborate but the government should not run away from the prime responsibility of minimising air pollution in the valley.

However, secretary at the Ministry of Labour and Tourism Management, Narayan Prasad Silwal, who chaired the programme, said: "The municipalities are capable of running the trolley buses and the banks will also be ready to finance it for them." KMC mayor Keshav Sthapit said that a strong private partner should come forward with strong demands and commitment for successful operation of trolley buses.