BMTC rejects 15,000 free ETMs from bank, floats tender to buy new ones at Rs 40 crore

BENGALURU: The Bengaluru Metropolitan Transport Corporation (BMTC) has refused to accept 15,000 electronic ticketing machines (ETMs) offered by Canara Bank, and has instead chosen ot invite tenders for the same machines at a cost of Rs 40 crore.

The machines were initially provided by Pine Labs three-and-a-half years ago, but their contract expired six months ago. Despite issues with the machines, including battery and software problems, BMTC turned down Canara Bank’s offer to supply new machines for free.

The bank had offered to provide the machines as part of its corporate social responsibility, (CSR) considering BMTC’s financial struggles and the large transactions it conducts with the bank. However, BMTC has now decided to invite tenders for the machines, sparking questions about the decision-making process.

Critics argue that accepting the free machines would have saved BMTC money and allowed for software upgrades at a lower cost. The decision to reject the offer and spend Rs 40 crore on the same machines has raised eyebrows.