Sunday, August 9, 2026 01:06 PM

Govt moves to revive defunct Public Transport Authority

Kathmandu, Aug 9: The government has moved to revive the Urban Area Public Transport Management Authority, which had been placed on a list of agencies proposed for abolition, by amending its governing law.

The authority was established in 2022 to modernise and integrate public transport in the Kathmandu Valley. But it remained largely inactive from the beginning. Despite operating for more than two years, it was never given a single full-time employee, while a joint secretary from the Department of Roads was assigned the additional responsibility of chief executive.

The previous government had proposed abolishing or transferring the authority to provincial governments under its Governance Reform Roadmap, citing administrative reforms and cost-cutting. The current government, however, has concluded that a dedicated authority is essential to address Kathmandu Valley’s traffic congestion and disorderly public transport system.

The Urban Area Public Transport Management Authority, First Amendment Bill, 2083, registered in the Federal Parliament, seeks to give the institution broader powers and a more active role.

The bill replaces the term “federal capital urban area” with “Kathmandu Valley public transport”, clearly bringing Kathmandu, Lalitpur and Bhaktapur under a single transport management framework.

It would also expand the definition of service providers to include companies managing cashless fare systems, fare collection and distribution, and advertising services.

The authority would gain powers to prepare an integrated route plan and issue, renew or cancel route permits. It could also decide how many vehicles should operate on each route, set service schedules and determine service frequency. The bill further allows subsidies for night services and special transport operations.

The proposed law would also give the authority responsibility for identifying locations for bus parks, stops, terminals, dedicated bus lanes, passenger waiting areas, electric vehicle charging stations, traffic lights and parking facilities.

A high-level council chaired by the federal transport minister, with participation from the Bagmati Province transport minister and mayors of Kathmandu Valley’s metropolitan cities, has also been proposed to strengthen the authority’s political and administrative backing.

The authority says it has already laid some groundwork despite limited resources. Its “KTM Public Transport” mobile app has connected around 1,000 public vehicles, allowing passengers to track buses and check nearby stops in real time.

It has also prepared to introduce smart card-based fare payments, with plans to distribute between 500,000 and one million cards and install card readers on vehicles. The programme has been delayed by procurement complications and policy uncertainty, but officials say it could be launched within six months after the law is amended.

The authority has also prepared a 10-year transport master plan and is finalising a business plan with World Bank support. The plan envisions around Rs 7 billion in investment.

It has proposed replacing the current passenger-based earning model with a contract system under which operators would be paid based on service quality and adherence to schedules. The authority also plans to encourage smaller transport companies to merge, aiming to reduce unsafe competition and improve reliability.

People’s News Monitoring Service

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