The project is expected to be completed by September 2018, bringing economic development and tourism to a region previously struck hard by militancy.
A new firefighting service equipped with motorcycles will be able to reach fires on narrow streets, holding them off until larger fire trucks can arrive.
The women-only taxi service, launched in Karachi last March, began operations in Peshawar in January.
The BRT project was inaugurated October 19 and is expected to take six to nine months to complete.
Terrorist attacks against Pakistan Railways have plummeted because of the presence of police and army forces, officials say.