Kuthambakkam Bus Terminal Nearing Launch, ₹414-Crore Project Set to Operate Under PPP Model

After a series of setbacks, the ₹414-crore Kuthambakkam mofussil bus stand in the Thiruvallur area is finally going to fly off the ground. Built by the Chennai Metropolitan Development Authority (CMDA), the world-class facility would be run on a 15-year Public-Private Partnership (PPP) model.

The bus station occupies a core area of 24.8 acres and will be an important transit point for west-bound TNSTC and MTC buses. It features 136 bus bays, 64 idle parking bays, 44 commercial shops, dormitories, and other essential public amenities. An additional 9 acres have been allocated for idle bus parking and a police station.

To ensure seamless access, a new 36-metre-wide, 2.2-km-long road from NH-4 has been developed, adding 18.2 more acres to the project and bringing the total development area to 52 acres.

“There were several issues in Kilambakkam after the inauguration. In Kuthambakkam, we’ve taken care to address these problems beforehand. The terminal will open soon after a few final checks,” said CMDA Minister P.K. Sekar Babu.

CMDA is in the process of selecting a private concessionaire to handle the terminal’s operations and maintenance. The chosen firm must form a Special Purpose Vehicle (SPV) under the Companies Act before signing the agreement. A 15-day trial run is mandatory after meeting all prerequisites, which will mark the formal start of the concession period.

The concessionaire will manage all aspects of the terminal from bus bays and parking to commercial shops and public services. Revenue can be generated through shop rentals, parking fees, and advertising. However, any sub-licensing of services such as security or parking will still require the concessionaire to ensure quality and performance.

This terminal is expected to ease congestion in Chennai’s city center by redirecting westbound traffic, offering improved connectivity and upgraded passenger facilities under a long-term, private-public partnership.