- Govt. targets mid-2026 rollout of centralised digital infrastructure
- Infrastructure gaps must be resolved first, private operators warn
- 350–400 SLTB buses reportedly off the road due to lack of drivers
- Cashless ticketing, GPS monitoring form backbone of proposed reforms
Sri Lanka’s dilapidated public transport system is at a critical juncture, facing a multitude of structural, financial, and operational challenges.
With significant road congestion leading to massive economic losses and a severe shortage of operational staff hindering daily activities, the Government has proposed a series of sweeping reforms.
These proposed changes include the introduction of a new cluster system, the implementation of centralised digital infrastructure, and a comprehensive overhaul of human resource management within State transport entities.
The daily reality of navigating Sri Lankan roads has become a severe economic burden. The sheer volume of vehicles, coupled with inadequate infrastructure, has led to a highly inefficient public transport network.
Massive financial losses
“In 2025, the country lost Rs. 1 trillion due to the transport sector,” Lanka Private Bus Owners’ Association (LPBOA) President Gemunu Wijeratne said, highlighting the extreme financial consequences of the ongoing crisis.
When asked to elaborate on how the massive deficit accumulated, Wijeratne pointed directly to the daily traffic gridlock and the unregulated influx of private vehicles.
“The financial losses are primarily driven by severe traffic congestion and the abnormal influx of imported vehicles. Currently, around 1,000 motorcycles are registered daily, alongside a surge in unregistered motorised bicycles that require only a helmet. Consequently, whether in rural areas or in Colombo, passenger numbers for buses have plummeted as the public has shifted towards individualised transport,” Wijeratne explained.
This shift towards individualised transport has severely impacted the viability of mass transit, turning daily commutes into prolonged ordeals. “Travelling to Colombo in the morning has become practically impossible. For instance, commuting from Maharagama takes up to two hours just to cover 10 kilometres, resulting in massive time and fuel wastage. To address this congestion, fundamental changes must be implemented, including the restructuring of both office and school hours,” he added.
Addressing the Government’s plans to upgrade the physical fleet with low-floor and electric buses, Wijeratne expressed strong scepticism regarding their practical application under current traffic conditions.
“Operating low-floor or electric buses is entirely unfeasible under current traffic conditions. I recently informed delegations from India and England that continuous stopping and braking in heavy congestion rapidly drains electric batteries and prevents the efficient use of diesel. With relentless morning and evening gridlock, buses carrying over 1,500 passengers daily are rendered immobile. The congestion must be eliminated before introducing such vehicles,” Wijeratne noted.
Beyond the roads, the operational capacity of the transport sector is being severely restricted by a lack of qualified personnel. Both the private sector and the State-owned Sri Lanka Transport Board (SLTB) are struggling to keep buses active due to a severe shortage of drivers and conductors. For the private sector, regulatory hurdles are a major barrier to recruitment.
“We are facing a critical shortage of drivers due to stringent licensing barriers. While youth can obtain their light vehicle licence at 18 years, they must now wait until they are 23 years old to secure a licence for driving a private bus. Unwilling to wait, many young people simply obtain a three-wheeler licence and leave the industry. Consequently, 25% of bus operations in Sri Lanka have completely halted, with 5–10 buses parked idly at homes along every route,” Wijeratne detailed.
SLTB’s internal paradox
Meanwhile, the SLTB is dealing with its own internal paradox; despite having a seemingly adequate workforce on paper, buses remain idle at depots islandwide.
SLTB Chief Executive Officer (CEO) Dhammika Ratna provided clarity on this administrative bottleneck.
“While our approved cadre from the Department of Management Services is 24,886 and our current numbers are slightly below that, a severe internal mismatch exists. Personnel originally recruited for operational roles have been improperly shifted to administrative duties over the years, often lacking the necessary educational qualifications. This administrative bloating is precisely why certain depots currently have 30–35 buses entirely out of service,” Ratna explained.
To rectify this situation, the State institution has initiated a comprehensive internal audit of its workforce. “To rectify this, we are executing a rigorous evaluation process. Every single employee, beginning with the CEO, is being formally interviewed to guarantee they are placed according to their true professional qualifications. It is imperative that we get these drivers and conductors back on the road,” the SLTB CEO affirmed.
This internal evaluation aligns with the directives of the Government. Speaking to the media at the launch of the employee integration programme, Deputy Minister of Transport Prasanna Gunasena directly addressed the issue of misplaced personnel contributing to the bloated cadre. “The core issue is that these employees join the workforce as drivers or conductors, but are currently employed elsewhere in administrative roles,” Gunasena explained.
Highlighting the operational impact of this administrative surplus, he provided specific figures to illustrate the severity of the situation. “Out of 107 SLTB depots islandwide divided into 12 regions, 30–35 buses are not in service due to the lack of drivers and conductors per region. Across the country, this number is between 350–400. Imagine the operational pressure this puts on us,” he said.
To rectify the situation where unqualified staff occupy management roles while depots lack drivers, Gunasena confirmed a rigorous new evaluation process. “For the first time in history, all SLTB employees, beginning with the CEO, will be thoroughly interviewed,” he said.
Exploring a new model
To combat the inefficiencies of a fragmented system, the Government is exploring the reintroduction of a cluster model. This model aims to consolidate operations, ensuring that buses run on predefined schedules, rather than competing recklessly for passengers.
National Transport Commission (NTC) Chairman Eng. P.A. Chandrapala outlined the preliminary stages of this initiative, noting that the regulatory body was taking a measured approach. “We have decided to procure specialised consultancy for this structural shift. We will be bringing in a consultancy team next week to initiate comprehensive testing of the new system, ensuring we have adequate time to refine the models,” Chandrapala stated.
While the final details remain under review, Chandrapala shared the fundamental mechanics of the proposed system. “Under the cluster arrangement, specific geographical areas will be selected, and the exact number of buses required will be determined. Following this, buses will be incorporated and strict schedules will be prepared alongside structured fare systems. The operators will then enter into a formal agreement with an entity such as the NTC or the Ministry of Transport. Consequently, the public will enjoy vastly improved facilities as the buses will operate strictly on predefined schedules,” he claimed.
Crucially, this system does not aim to force private owners to surrender their assets, but rather to organise them into manageable groups.
“The formation of companies will not be forced upon the private sector individually. Instead, independent operators will unite to form clusters equipped with a centralised management structure. They will pool their buses based on the designated area and operate under a unified, coordinated schedule,” Chandrapala added.
This model also includes safety nets for operators facing operational losses. “If a cluster experiences a legitimate operational loss against their cost involvement, the management can seek alternative investments through their infrastructure. Should their losses extend beyond those measures, the Government is prepared to explore practical financial solutions to sustain them.”
Addressing the broader structural reforms and the integration of operators into a cluster model, Minister of Transport Bimal Rathnayake outlined the technological roadmap.
“By mid-2026, we aim to have the digital infrastructure needed to launch the revenue-sharing model. This will serve as a virtual company. Ownership will remain dispersed, but operations will be centrally planned and digitally monitored to ensure fairness and efficiency,” Rathnayake stated.
The Minister also addressed the new regulatory frameworks designed to improve driver discipline and safety across the sector, saying: “We will not allow that practice of indiscipline to continue and will make the public transport licence mandatory for everyone driving a vehicle that transports members of the public.”
The SLTB is also preparing to integrate into this virtual ecosystem. SLTB CEO Ratna reflected on the historical context of the cluster system while detailing the modern technological upgrades.
“The concept of cluster companies is familiar to us, as we operated as regional entities like the Wayamba Bus Company prior to 2005. The contemporary model proposed by the State-Owned Enterprise Restructuring Unit focuses heavily on digitalisation and a centralised revenue-sharing model.
“We are preparing to implement an Enterprise Resource Planning (ERP) system alongside electronic ticketing. While ownership will remain firmly with the State, operations will be centrally planned to effectively eliminate congestion and the dangerous, unfair competition on the roads,” Ratna stated.
Digitised transport network
The transition towards a fully digitised transport network is heavily reliant on electronic ticketing and GPS monitoring. The SLTB has already begun laying the groundwork for this technological shift.
“The ultimate intention is to foster a comprehensive digital ecosystem. We have actively begun installing GPS systems across our fleet to accurately monitor delays and travel times. By analysing this data, we can better understand the congestion patterns on integrated corridors like the Makumbura and Galle Road routes. Simultaneously, the NTC is working to bring the private sector into this shared technological framework, ensuring that joint timetables can be implemented smoothly and effectively,” Ratna said.
However, the private sector views the immediate implementation of digitalisation with caution, arguing that fundamental infrastructural issues must be resolved first.
“Presently, there is a severe lack of basic infrastructure, including bus terminals, parking stands, and essential passenger facilities such as toilets and water. The Western Province alone covers 150 routes that require these immediate provisions. Furthermore, we are operating without sufficient drivers and conductors. Unless the roads are properly categorised and this extreme congestion is addressed, where travelling just 2 km consumes a litre of fuel, the mere formation of a company will resolve nothing,” Wijeratne said.
Despite these reservations, he acknowledged that while the LPBOA had submitted proposals for transitioning to cashless systems, the necessity for corresponding legal amendments still remained.
“We have submitted proposals to transition to a conductorless system by installing tap-and-go machines at the front of the buses. However, integrating this technology with existing conductors creates significant trust issues, as they cannot verify the exact amounts deducted and fear being held liable for missing funds during machine malfunctions.
“These practical realities are often ignored by ministers who simply view the technology in isolation. For this system to succeed, the Motor Traffic Act must be formally amended to legally accommodate conductorless operations,” Wijeratne emphasised.
He stressed that before adopting foreign models, the domestic regulatory environment must be stabilised. “Before attempting to replicate foreign transport models, officials must focus on resolving the fundamental domestic issues. This means establishing proper joint timetables across the transport sector, organising the roads systematically, and entirely eliminating the current congestion.”
As the Government moves forward with its comprehensive agenda, questions regarding the potential privatisation of State assets have emerged. Focusing on the internal, financial, and operational culture of the SLTB, Minister Rathnayake made his immediate priorities clear.
“We are committed to building the SLTB, for which the support of all employees at all levels is necessary. The losses must be stopped, ticket sales must be regularised, and employees must take pride in their work,” he said.
The leadership at the SLTB echoed this commitment to reform over privatisation. “The Minister of Transport has firmly stated that the SLTB will absolutely not be privatised. We are entirely committed to rebuilding the institution from within. Our immediate focus remains on improving operational efficiency, regularising ticket sales through modern digital platforms, and systematically stopping financial losses. Our mandate is to provide a reliable public service, not to sell off valuable State assets,” Ratna concluded.
With the NTC set to conduct broad testing of the cluster system and the SLTB undergoing internal evaluations, the coming months will be critical. The successful integration of State and private operators, supported by digital infrastructure and realistic traffic management, will ultimately determine whether Sri Lanka can reverse its massive transport deficit and build a sustainable mass transit network for the future.