RTC NEC regions loss, private operators gain

RTC NEC regions loss, private operators gain
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Highlights

North East Coast Region (NEC) of APSRTC was incurring losses as it was spending more than the income it was generating from various sources.  The private vehicles like auto-rickshaws, tempos, private stage carriers are eating a major chunk of NEC region income in several routes. 

Vizianagaram: North East Coast Region (NEC) of APSRTC was incurring losses as it was spending more than the income it was generating from various sources. The private vehicles like auto-rickshaws, tempos, private stage carriers are eating a major chunk of NEC region income in several routes.

As per information of NEC region comprising Vizianagaram and Srikakulam districts, it is plying around 650 busses across the State. All the nine depots should earn minimum Rs 95 lakh to run the NEC region sans losses, But Rs 80 lakh revenue was being generated per day through ticket services and still it is in the deficit of Rs 20 lakh per day.

As a result, the NEC region was incurring losses for the past few years. In 2011, the loss was of Rs 24 crore, in 2012- Rs 32 crore, in 2013-Rs 20 crore and in 2014-Rs 59 crore. Adding insult to injury, the NEC region was incurring losses due to old buses as they are consuming more fuel than the new vehicles, But the NEC region is not in a position to purchase new buses as is it did not have enough funds to enhance the capacity.

Out of 650 buses around 100 buses are unfit to travel on roads as they have already travelled more than 15 lakh kilometres and they should be withdrawn from services. But, due to unavailability of funds, the management is running these old buses. Actually, a new bus can travel around six kilometres by consuming one litre of diesel, but all these old vehicles are consuming one litre diesel for five kilometres.

In Vizag region, the corporation is operating around 950 buses and around 80 of them are to be condemned. But, the management is running these vehicles on roads. Some of the buses are unable to travel on ghat roads like Araku, Paderu and Sileru, but the management has no other option than running these buses.

Regional Manager of NEC P Appanna said: “We are expecting new buses soon as we have put up a proposal before the management for the new fleet. We are hoping that new buses would be added to the existing fleet by July.”

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