Kerala has been asked to set up a special purpose vehicle (SPV) for operating and managing the buses procured by the State with assistance of the Jawaharlal Nehru National Urban Renewal Mission (JNNURM).

Setting up the SPV is the main condition put forward to the Local Self-Government Department by the Central Sanctioning and Monitoring Committee (CSMC) on Urban Infrastructure and Governance to release the first tranche of funds for the JNNURM extended scheme.