Karnataka News: State Government to Hike Bus Fares, What’s Driving the Decision?

Find out if bus fares in Karnataka might go up; KSRTC claims declining revenue and rising oil prices. Examine what motivates this suggestion in light of the current economic challenges.

Karnataka News

Karnataka News: Citizens of Karnataka are in for drastic change in public transport costs, as the Karnataka State Road Transport Corporation is all set to hike its bus fares. This probable hike was because of the steep increase in petrol price in the country, said KSRTC Chairman SR Srinivas. The proposal regarding fare increase has been submitted to the state government and is awaiting final clearance.

Financial Impact of Free Bus Services for Women

One of the major factors behind the hike is the financial burden the KSRTC is facing by providing free bus services for women. This, it is said, has incurred a massive loss of Rs 295 crore to the transport corporation in the last three months. In order to compensate for the losses and manage the increasing cost of expenditure, this hike in fare is deemed necessary.

KSRTC Chairman Highlights Long-Standing Fare Stability

In this context, while demanding a revision in bus fare, KSRTC Chairman SR Srinivas pointed out that though the price of oil has surge now, the bus fare remains the same since 2019. With the increasing cost of fuel and spare parts and the revision of salaries for its staff, the corporation had no option but to look for an increase in fares. The transport department is finding it hard to balance income and expenditure; in this scenario, the hike in fare will be vital for financial stability.

Proposal Details Sent to Government

It has been continuously explained through a proposal sent to the government in which it is specifically mentioned that the revision in salary for KSRTC employees, due in 2020, got delayed for some reasons. It was one of those major reasons that contributed to the current financial burden faced by the corporation. Chairman SR Srinivas urged the state government to make proper efforts towards finding a solution to the ongoing financial crisis in KSRTC by sanctioning the fare hike.

Financial Report Reveals KSRTC’s Significant Loss

The latest financial report of the Kerala State Road Transport Corporation released recently pegged its loss at Rs 295 crore, largely due to the free bus travel scheme announced for women. There, the transport corporation has pleaded for an increase in fare by 15 to 20 per cent to compensate for the deficit. So, a hike in fare is required for the smooth running and maintenance of bus services in Karnataka.

The proposed hike in fares comes at a time when there have been too many economic pressures: first, with the surge in oil prices and later, the need to keep financial viability alive by serving the public. As the government examines the proposal, residents of Karnataka are eagerly waiting for the final decision that would impact their daily commutes.

Exit mobile version