Karnataka RTC 'bus fare hike inevitable' due to rising oil prices: Chairman SR Srinivas

Karnataka: The Chairman of Karnataka State Road Transport Corporation (KSRTC), SR Srinivas, has stated that an increase in bus fares is inevitable due to the rising oil prices. He explained that the last fare increase was made in 2019, and the current economic conditions require an increase to cover operational costs and employee benefits.

"The last bus ticket price increase was in 2019. It has been five years since then without any increase. Due to the rise in oil prices, a fare hike is inevitable. To increase salaries and provide benefits to employees, adjusting the rates is necessary," Srinivas said.

He also mentioned that there was a salary revision for KSRTC employees in 2020 and the next revision is scheduled for 2024. 

"This delay in fare adjustments has contributed to our financial challenges. If it was increased from time to time, it would not have been like this. KSRTC has incurred a loss of Rs 295 crore in the last three months," he added.

Additionally, he also highlighted that a proposal for 40 new Volvo buses has been submitted to the government. "We have already procured 600 regular buses. We have proposed a fare increase of 5 to 20 percent. The final decision on the rate hike will be up to the Chief Minister," he said.

The fare increase will not disproportionately affect male passengers, Srinivas added.

"The ticket price for female passengers will also be raised, but this increase will be covered under the Shakti scheme. For KSRTC to continue operating effectively, a fare hike is necessary. The price of diesel has risen from Rs 60 in 2019 to current levels, and expenses are increasing across various areas, including staff salaries, administrative costs, and new services," he explained. 
(with agency inputs)