No hike in bus pass rates, Shakti scheme will continue with same vigour: Ramalinga Reddy

Transport minister defends 15 per cent bus fare hike, blames BJP govt for RTCs' poor finances

Bengaluru: Transport Minister Ramalinga Reddy has defended the 15% hike in bus fares but said pass rates would stay the same. He also ruled out any changes to the Shakti scheme which, he assured, would continue with "the same vigour".

Addressing a press conference here on Friday, Reddy reeled off statistics to highlight the Road Transport Corporations' (RTCs) "precarious" financial condition, which he blamed on the "mismanagement" of the erstwhile BJP government.

According to him, during the Congress regime, the total liabilities of Karnataka's four RTCs stood at Rs 2,653.67 crore by March 31, 2019. Under the BJP government, the liabilities surged to Rs 4,099.38 crore by March 31, 2023. As of December 31, 2024, the total liabilities have risen to Rs 6,520.14 crore, comprising Rs 863.9 crore in bank loans and Rs 4,175.23 crore in other dues.

Reddy dismissed suggestions that the women's free bus travel scheme was the reason for the poor finances and the fare hike. "Bus fares were increased by 12% in 2020 when the BJP was in power. Did the scheme exist then," he asked.

Reddy stressed that rising operational costs, such as diesel prices and staff wages, necessitated the fare hike.

Daily diesel expenses have risen from 9.16 crore to Rs 13.21 crore while staff wages have shot up from Rs 12.85 crore per day to Rs 18.36 crore. RTCs now spend an additional Rs 9.56 crore per day, he added.

Reddy noted improvements in RTC operations following the launch of the scheme on June 11, 2023.

The RTCs operate 23,186 bus services daily as against 21,164, run 1.74 lakh daily trips as against 1.54 lakh, earn Rs 32.56 crore daily as against Rs 23.01 crore and ferry 1.08 crore passengers daily as against 85.84 lakh.

While the scheme increased the RTCs' revenue to Rs 10,147.45 crore in 2023-24 from Rs 8,399.43 crore in 2022-23, the operational costs have also gone up, he added.

He said the scheme had cost Rs 8,800 crore, of which the government released Rs 6,543 crore until November 2024 and will release the rest soon.

Since the Congress came to power, RTCs have procured 4,340 buses, compared to only 1,263 buses added between 2020-21 and 2022-23 during the BJP tenure, Reddy said.

He pledged to continue the scheme and said it would not be restricted to BPL card holders.

"Elections will be held in 2028 and we will be voted back. The scheme will continue even then," he stated confidently.

According to the minister, work is underway to introduce smart cards for scheme beneficiaries, which will reduce the burden on city bus conductors.

When asked about a pay hike for RTC employees, who have threatened to go on strike over the matter, Reddy said the chief minister would hold discussions with union representatives after Sankranti and take a decision.

A senior KSRTC official hinted at a pay increase but noted that several issues needed to be resolved first.

Reddy acknowledged the shortage of buses in North Western Karnataka Transport Corporation (NWKRTC) and said efforts were underway to expand the fleet.

He also promised that new vehicles would address concerns over poor bus services in villages. "We are not like private players. We operate buses even at a loss," he said.

The Congress government has approved hiring 9,000 new RTC employees to address staff shortages, he added, claiming that the BJP regime made no efforts to fill vacancies after 16,000 staff retired.