Two bus corporation chiefs propose fare hike; say losses are mounting

A proposal has been submitted to the State government, says KSRTC chairperson Srinivas 

Updated - July 15, 2024 12:44 am IST - Bengaluru/Belagavi

NWKRTC chairman Raju Kage attributes the precarious financial position to the Shakti scheme and other factors.

NWKRTC chairman Raju Kage attributes the precarious financial position to the Shakti scheme and other factors. | Photo Credit: file photo

After the State government increased petrol, diesel, and milk prices, the Karnataka State Road Transport Corporation (KSRTC) and North Western Karnataka Road Transport Corporation(NWKRTC) are now considering a fare hike.

Statements in this regard have been made by chairpersons of these corporations on the eve of the commencement of the monsoon session of the State legislature.

KSRTC chairperson S.R. Srinivas stated on Sunday that a fare hike was inevitable.

Speaking to reporters in Tumakuru, he said KSRTC had submitted a proposal to the government to increase fares by 15 to 20 per cent.

“We had a board meeting two days ago and proposed such a fare hike. The final decision is up to Chief Minister Siddaramaiah. If KSRTC is to survive, fare hike is inevitable,” he said.

According to the chairperson, the corporation has incurred a loss of ₹295 crore in the last three months.

“Fuel and auto parts prices have risen substantially, and there hasn’t been a fare hike since 2019. Additionally, KSRTC employees have not had a salary revision since 2020. Therefore, increasing the ticket price is necessary,” he added.

In response to a question if the fare hike would burden male passengers since women travel for free under the Shakti scheme, Mr. Srinivas said that there was no intention of placing the burden solely on men and that the State government is covering the costs for women travelling on buses.

Financial strain 

Meanwhile, NWKRTC chairman and Congress MLA Raju (Bharamagouda Alagouda) Kage, speaking at Kagwad on Sunday, stated that NWKRTC was compelled to increase bus fares owing to losses incurred by the corporation, attributed to the Shakti scheme and other factors.

“Over the decades, we have suffered from accumulated losses. We have also suffered losses due to the Shakti scheme. We need some cash infusion, apart from what the State government is to give us. That is why we are planning to hike bus fare. NWKRTC has not revised fares in 10 years,” he said.

Mr Kage added that it was difficult to manage the corporation as the prices of fuel, buses, spare parts and wages had been increasing over the years. “However, we are providing good service to the people despite losses. I would discuss the issue with the Chief Minister before a final decision was made,” he added.

May rock session

The recent hike in fuel and milk prices in Karnataka has sparked off criticism from the BJP and Janata Dal (S). The statements from the chairpersons of two road transport corporations about hiking fares come just before the monsoon session of the State legislature, which begins on Monday.

It is likely that these statements and the alleged financial irregularities in the Valmiki corporation, besides the Cauvery water issue and the MUDA scam will raise the heat in the legislature.

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