Live
- PM Modi brought honour to Constitution: Karnataka BJP
- Did Cong sink MVA in Maharashtra? Data crunching throws up interesting details
- RCB's IPL 2025 Squad: Star Players, New Additions, and Exciting Leadership Change
- Sensex settles flat at 80,004, auto shares slide
- North Korea cuts power lines installed by South Korea
- Blood-like liquid on roads in Hyderabad’s Jeedimetla sparks panic
- Detrimental to interests of people: Priyanka Chaturvedi on delay in naming Maha CM
- Ecclestone, Sciver-Brunt gain big in ICC Women's T20I Player Rankings
- 'Scam of Rs 46,300 crore in BBMP', K'taka BJP leader files complaint with ED
- Govt’s bank guarantee waiver to cut financial burden on telcos, boost digital infra: Industry
RTC mulls fare hike to tide over losses
For the first time after the formation of Telangana State, the government-run Telangana State Road Transport Corporation (TSRTC) bus fares are set to go up as the Expert Committee constituted to study the Corporation’s economic status has recommended the hike.
Hyderabad: For the first time after the formation of Telangana State, the government-run Telangana State Road Transport Corporation (TSRTC) bus fares are set to go up as the Expert Committee constituted to study the Corporation's economic status has recommended the hike. The Expert Committee felt that to overcome the losses incurred by the Corporation since the formation of Telangana State in 2014, the fares should be hiked.
According to sources in the Corporation, the committee has observed that fare hike is the only option with which the management can overcome the losses. State government had formed an expert committee to carry out an in-depth study of the TSRTC and submit a report to the government.
The RTC has not increased bus fares after the formation of Telangana and the last time the Corporation had gone for fare hike was during November 2013. The RTC management had adjusted fares in 2016 to overcome the problem of change.
According to sources, the committee submitted its report recommending hike in fare about five months ago, but due to elections in the State, the decision was kept pending. "The file is pending with Chief Minister K Chandrashekar Rao for taking a decision as the Corporation has been facing loses for too long.
The prices of diesel have gone up but there has been no increase in the ticket fare. The committee has given the report and it has been forwarded to the government," said a senior official. The committee has recommended a fare hike of 10 to 15 per cent.
The TSRTC has been reeling under accumulated losses of Rs 2,500 crore and the losses in the previous year were Rs 750 crore. Out of the 97 depots, only 27 depots are in profits. The Corporation every day gets a revenue of Rs 12 crore and the expenditure is Rs 14 crore showing a loss of Rs 2 crore every day. According to the officials, RTC consumes diesel worth of Rs 1,000 crore every year. The officials said the hike in diesel prices is affecting the earnings because the fares are not increasing in proportion to the price.
The Corporation is facing difficulties to disburse salaries in time and officials expect the problem can be solved if the fares are increased. The Corporation has 10,500 buses but except for the long-distance buses, most of the buses are making losses, which is suspected due to competition from the private travels including the private bus operators, taxis, jeeps, seven-seater autos etc.
To overcome losses, the corporation has taken various measures like utilising the open places of the corporation for petrol bunks, mini theatres, malls etc. The RTC unions are a divided lot over the fare hike proposal as they say this would divert the passengers to private players.
Instead, the unions demand removal of VAT on diesel by the government and provide subsidies since the Corporation is serving the people. Another section wanted the Corporation to give autonomy to increase fare hike whenever the diesel prices increases.
