Karnataka Budget 2026: On March 6, 2026, Karnataka’s Chief Minister Siddaramaiah announced a significant ₹2,000-crore electric bus programme with World Bank assistance during the presentation of the State Budget for 2026-27. This initiative aims to transition the State’s road transport corporations towards sustainable practices.
The programme, known as the Karnataka Electric Bus Programme (KEBP), plans to develop 32 electric bus depots under the Bengaluru Metropolitan Transport Corporation (BMTC) and 62 depots in other State Road Transport Corporations. It also includes the induction of 4,000 electric buses into the public transport fleet, promoting environmentally friendly transport solutions.
In addition to the electric buses, the government will procure 1,000 diesel buses in 2026-27 to strengthen public transport services. Addressing employee concerns, the Chief Minister announced the payment of salary arrears from January 1, 2021, to February 28, 2023, and a salary revision effective from April 1, 2025, allocating ₹1,271 crore for these arrears.
The Transport Department reported a revenue growth of 8.5%, collecting ₹11,630 crore up to February 2026, with a target of ₹15,500 crore for 2026-27. Vehicle sales have shown a strong recovery, with a 13% increase in two-wheeler sales and a 4% rise in car sales compared to the previous year.
Published in SouthAsianDesk, March 7, 2026
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