KSRTC gets Rs 20 cr from government to manage fuel crisis


Representative image | Photo: Mathrubhumi

Thiruvananthapuram: State government on Saturday provided Rs 20 crore to Kerala State Road Transport Corporation (KSRTC) to manage expenses related to buying diesel. The financial aid came as a breather to the corporation as the oil companies denied KSRTC fuel thanks to the payment dues.

KSRTC fell into a dire financial crisis after the board utilised its funds to pay the salaries of employees as HC had ordered timely payment. Meanwhile, the oil companies refused to supply diesel until KSRTC paid Rs 13 crore dues. Following this, KSRTC cut down 50 per cent of ordinary services on Friday and 75 per cent on Saturday. It announced that 100 per cent of ordinary services will be shut down on Sunday. However it kept long-distance, remote and inter-state services running.

Following this, KSRTC sought the help of the state government and Rs 20 was allocated for the same.

The government-owned Indian Oil Corporation (IOC) had told the Supreme Court that KSRTC has dues of Rs 139.97 crore to the company.

KSRTC has not purchased from IOC since it ordered differential pricing for retail and wholesale customers. Currently, KSRTC is buying fuel from retail petrol pumps, IOC said in its affidavit in the case filed by KSRTC against the price hike.

Add Comment
Related Topics

Get daily updates from Mathrubhumi.com

Youtube
Telegram
Disclaimer: Kindly avoid objectionable, derogatory, unlawful and lewd comments, while responding to reports. Such comments are punishable under cyber laws. Please keep away from personal attacks. The opinions expressed here are the personal opinions of readers and not that of Mathrubhumi.