The Skybus project faces delay with uncertainty over who will give its security certification. The Skybus is cited by the Konkan Railways Corporation Ltd (KRCL) to be one of the cheapest and fastest forms of urban transportation, four times cheaper than underground metro but its unique design has put officials in a quandary over whether Skybus can be included under the Railways Act.

The Urban Development Ministry had set up Indreshan Committee to look into the matter, but the committee's sanction expired in March 2005 and it has asked the prime minister's office to give it an extension.

KRCL had conducted a test trial of Skybus last September but a freak accident a month after, which killed one engineer and injured three, led to a delay in the safety certification. Then KRCL managing director B Rajaram had said that the Skybus system was similar to railways and hence should be awarded certification by railways itself.

KRCL, which has spent Rs.50 crore developing a prototype of Skybus, is not the only interested party in moving the project quickly-34 private firms, including Larsen & Toubro and Bajaj Electrical, which have a financial stake in the project, are also waiting for the project. Many cities especially Pune, Jaipur and Chandigarh have expressed keen interest in setting up the Skybus system.