The Punjab Transport Department has signed a Memorandum of Understanding (MoU) with Indian Oil Corporation Limited (IOCL) to secure diesel for state-owned buses at a higher discounted rate, leading to significant cost savings for the government.
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Punjab Transport Minister Mr. Laljit Singh Bhullar stated that this agreement would help the state save Rs. 9 crore annually.
The MoU was formally exchanged between Mr. Rajiv Kumar Gupta, Director, State Transport-cum-Managing Director of Punbus, and Mr. Ashutosh Gupta, Executive Director and State Head of IOCL.
Under the new agreement, the discount on diesel has been increased to Rs. 2,550 per kilolitre (1,000 litres)—Rs. 570 more per kilolitre than the previous discount of Rs. 1,980 per kilolitre, which was set in 2019.
Furthermore, the Punjab Road Transport Corporation (PRTC) will soon sign a similar MoU, which is expected to generate an additional Rs. 9 crore in annual savings, bringing the total savings to Rs. 18 crore per year. Over the next five years, this initiative is projected to save Rs. 90 crore for the state.
Minister Bhullar highlighted that this move underscores the Punjab government’s commitment to financial efficiency and responsible resource management.
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