Erode Corporation engages consultant to find private operator for Solar bus terminal
The Erode Corporation has initiated the process to engage a private operator for the integrated bus terminal at Solar, which has remained largely underused since its opening. The civic body has appointed a consultant to identify a concessionaire under a revenue-sharing or conventional model.
According to officials, the consultant will prepare a feasibility report and provide transaction advisory services to assess the future development of the facility. The decision to involve a private operator was taken in September 2025, as the corporation lacked adequate manpower to manage the terminal independently.
The selection of the consultant followed an e-tender floated in August 2025. Two firms participated: Jones Lang LaSalle Property Consultants Private Limited, based in New Delhi, and a Chennai-based architectural firm. After two rounds of price negotiations, the contract was awarded to Jones Lang LaSalle, the lowest bidder, for ₹42.48 lakh. The Corporation Council recently passed a resolution approving the award.
The terminal, built at a cost of ₹74.90 crore, became operational on November 4, 2025, with Tamil Nadu State Transport Corporation (TNSTC) services to southern districts. Spread over 19.9 acres, the facility has a built-up area of 12,247 square metres. It comprises 63 bus bays, 134 commercial units, parking space for 883 two-wheelers, and an autorickshaw stand for 100 vehicles.
However, private bus operators have refused to shift their services to the terminal, citing operational concerns. They obtained an order from the Madras High Court against the shift. As a result, only TNSTC buses currently operate from Solar, connecting to Karur, Tiruchi, Madurai, and other destinations in the southern districts.
Corporation officials said the lack of manpower was a key factor in the decision to outsource operation and maintenance. The consultant will study the scope for revenue generation from the available space, prepare an operation plan, and frame terms and conditions for the operator.
The move is expected to improve utilisation of the terminal and ease the financial burden on the corporation. The consultant's recommendations will be placed before the council for approval before any concession agreement is signed.
