India Slashes Bus Safety Testing Fees to Push Coach Makers Toward Compliance

India will halve certification charges for bus body-builders and cut processing timelines from four months to six weeks, road transport minister Nitin Gadkari said at the Busworld India 2026 Conclave in New Delhi. The move is aimed at drawing the unorganised sector into a mandatory testing regime introduced last September.

"In the last six months, 125 people have died, and 200 people have been injured in bus accidents," Gadkari said. "We cannot play with the lives of the people. There is no compromise with road safety."

Testing charges, which ran between Rs 30 to Rs 40 lakh per certification, will come down to approximately Rs 14 lakh. The incentive targets roughly 600 body-building units employing more than 75,000 people that have struggled to comply with the revised bus body code, in force since September 1, 2025, which requires type-approval certification before a bus can be registered, replacing the earlier self-certification route. Each bus must now have a physical and video inspection checklist uploaded to the Vahan portal before it can get on the road.

India has only two buses per 1,000 people compared to eight globally. With current capacity at 70,000 units a year, manufacturers will need to triple output to meet demand, including 1.5 lakh electric buses over the next three years.