MTC to Deploy 150 Micro Vans for Metro Last-Mile Connectivity in Chennai
In a first-of-its-kind move, the Tamil Nadu government has approved the introduction of 12-seater micro buses for public transport in the city. The Metropolitan Transport Corporation (MTC) will operate a total of 220 new vehicles - including 150 vans with 12 seats and 70 buses with 19 seats - to enhance first- and last-mile connectivity to 10–13 Metro stations.
The initiative comes as the Chennai Metro Rail Limited (CMRL) records a daily ridership of 3.2 lakh passengers. Routes will be finalised based on a detailed study conducted by the Chennai Unified Metropolitan Transport Authority (CUMTA).
The buses will operate under the Gross Cost Contract (GCC) model, where private operators will procure and maintain the vehicles while MTC collects fares and pays operators on a per-kilometre basis. The annual operational cost is estimated at ₹75.64 crore, with expected revenue of ₹25 crore from operations and an additional ₹17.04 crore from increased Metro ridership. The state government will cover the remaining gap through viability gap funding.
Officials said the move will improve connectivity in interior areas with narrow roads, expanding Metro access to more neighbourhoods across Chennai.
