LAHORE: In a dramatic reversal, the Lahore Metro Bus service will continue normal operations today after authorities postponed a planned suspension that was set to take effect on August 11, following last-minute negotiations between the private operator (VIDA) and the Punjab Mass Transit Authority (PMTA).
The decision to halt operations, which the private firm announced days earlier citing financial strain due to rising fuel costs, has been temporarily shelved as both parties resume dialogue on the contentious issue.
The immediate deadlock over service closure has been resolved through negotiated agreement, allowing the bus service on the 27-kilometre Gajjumata-Shahdra route to maintain its regular schedule.
Earlier, the operator had issued a final notice threatening suspension unless the PMTA immediately commenced fuel supply from its own sources in compliance with a court order dated July 29.
“Negotiations are ongoing between VIDA and PMTA in this regard, and for now the decision to suspend Metro Bus operation has been postponed, so this service will continue as usual today,” according to official statements.
Unresolved Issues Remain
While the immediate crisis has been averted, the underlying fuel cost dispute remains unresolved. Both parties continue negotiations on critical issues including fuel provision mechanisms and cost-sharing arrangements that triggered the threat of suspension.
The private operator had argued that rising diesel prices—which have increased significantly since operations commenced—coupled with an inadequate cost reimbursement formula, have depleted its financial resources. The PMTA, meanwhile, had stated it could not implement court-ordered fuel provisions without government approval.
The postponement buys time for both parties to reach a comprehensive resolution before the service faces renewed shutdown threats.
