The Karnataka State Road Transport Corporation (KSRTC) is proposing a substantial bus fare hike, potentially reaching 20%, citing significant financial losses. Over the past three months, the KSRTC has reported a staggering ₹295 crore loss, primarily attributed to the Shakti scheme, which provides free bus travel for women in Karnataka. The scheme, one of the five guarantees promised by the Congress government led by Chief Minister Siddaramaiah, has been a major financial burden on the KSRTC.
The urgency to increase ticket prices has been highlighted by KSRTC Chairman SR Srinivas, emphasizing the need to keep the department afloat. A board meeting on Friday resolved to push for a fare hike and bring the proposal to the chief minister’s attention. Srinivas underscored the financial difficulties faced by KSRTC staff, whose salaries have not been revised since 2020. He explained that the KSRTC has experienced a ₹295 crore loss in the last three months due to the Shakti scheme. The essential nature of bus services was emphasized by Srinivas, highlighting that disruptions to bus services would directly impact villages and their connectivity. He has proposed a 15-20% fare increase, subject to the chief minister’s approval, warning that without a fare hike, the KSRTC’s survival is at stake.
In a parallel development, North Western Karnataka Road Transport Corporation (NWKRTC) Chairman Raju Kage echoed the concerns regarding the financial burden imposed by the Shakti scheme. He pointed out that NWKRTC has not increased bus fares in the past 10 years, despite facing losses. While acknowledging the financial strain, he assured that the department is still managing to operate.
