The inquest will focus on the treatment Anthony O'Donohue received from Queensland mental health services and changes needed to bus operator safety.
Mr Sharma, also known as Manmeet Alisher, was collecting passengers at Moorooka in Brisbane's south on October 28, 2016 when Mr O'Donohue boarded the bus about 9am.
Mr O'Donohue was holding a backpack containing a plastic bottle filled with diesel and petrol fuel, which he lit and threw on Mr Sharma.
The 29-year-old driver was immediately engulfed in flames, while the bus filled with thick black smoke.
Mr O'Donohue was charged with murder but declared of unsound mind and not criminally responsible for his actions by Queensland's Mental Health Court.
That court ordered Mr O'Donohue be held in a mental health facility for at least a decade, the first time such an order had been made.
Mr O'Donohue had a lengthy mental health history and was undoubtedly suffering from a severe chronic psychotic illness when he murdered Mr Sharma, counsel assisting Rhiannon Helsen told the Coroners Court earlier.
He had both involuntary and voluntary contact with in-hospital and community mental health services from 2010, but rejected the idea he had a mental illness,
Mr O'Donohue was discharged from the community mental health service in August 2016 but tried to make an appointment two months before Mr Sharma's death only to be told "he had been closed to the service", Ms Helsen said.
The inquest set down for three days gets under way before coroner Terry Ryan on Monday.
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