Coronavirus strikes hard already loss-making Nizamabad RTC

Nizamabad: The coronavirus, which is trembling the world, is shrinking the income ofthe Nizamabad RTC, pushing into losses.

The TSRTC employees' indefinite strike in October last for amore than two months caused heavy loss to the department. As if this not enough, coronavirus threw it into deep deficit.

The buses stayed off the roads for more than two months during lockdown. Post lockdown relaxation, only a few buses were allowed to ply, that too with limited passengers, in the district. The virus has endangered the survival of the RTC.

The Nizamabad RTC had incurred a loss of Rs 114.40 crore from March 22, the day of the lockdown, till July 8. Before the outbreak of coronavirus, the six RTC depots of Nizamabad region had faced Rs 17.03 crore loss by the end of January this year. It incurred another Rs 18.35 crore loss before the lockdown imposed in March this year. Due to Covid-19, Nizamabad RTC suffered a loss of Rs 93.40 crore from March 24 to July 8 and the total loss of Rs 114.40 crore.

Nizamabad RTC region runs 650 buses for about 2.35 lakh kilometres per day and normally generates an income of Rs 1.03 crore approximately and need 23,000 litres of diesel per day. The region suffered a loss of Rs 57 crore from March 24 to May 17 as it didn't run buses due to lockdown. Even though buses are running with Covid-19 norms, the Nizamabad RTC region incurring a loss of Rs 76 lakh per day. From May 18 to July 8, within a span of 52 days, Rs 36.40 crores loss was incurred.

The income presently earning by Nizamabad RTC region is inadequate for diesel costs. Its average income is Rs 23 lakh per day and it couldn't get even half of this amount during holidays and Sundays.

Nizamabad region operates 325 buses per day,

The TSRTC invested Rs 17.45 lakh on diesel and its expenditure of Rs 17.45 lakh was deducted from the revenue of Rs 23 lakh earned by the Nizamabad RTC region per day.

If the RTC deducts other fixed and variable costs from the revenue, it will go into deficit. With the lockdown easing, buses have travelled about 34,42,247 km in 50 days in the district, consuming 7,83,949 litres diesel. Diesel costs Rs 5.38 crores. After the lockdown, RTC has so far paid Rs 8.72 crores and with the increased diesel price, only Rs 2.78 crore was left with the department.

TSRTC Nizamabad Regional Manager Pagidimarri Soloman said that they are following Corona-19 norms and had reduced occupancy rate. The RTC had incurred heavy loss due to coronavirus spread. "As per the government orders, we are running limited number of buses and with 50 per cent occupancy. Inter-State buses are cancelled. Because of all these reasons, we are incurring heavy loss," he stated.