Ticket fare rounding off by KSRTC not a fair practice, say commuters

The Karnataka State Road Transport Corporation (KSRTC) has come under public scrutiny for reportedly overcharging passengers by rounding off fares on its premium bus services, including Rajahamsa, Airavat, Vaibhav and EV Power Plus.

The issue, which has led to complaints and even legal action, came to light in late 2024, when several passengers noticed discrepancies between the printed ticket fares and the actual amounts collected.

Critics argue the practice constitutes a systematic overcharge and undermines public trust, especially in an era of precise digital payments. 

The backlash has gone beyond complaints. Mysuru-based advocate Kiran, irked over being overcharged, has filed a consumer court case against KSRTC, demanding compensation of Rs 1,00,001. 

In November 2024, Raghu Srinivasan, while travelling from Bengaluru to Mysuru on an EV Power Plus bus, noticed something odd on his ticket. Beneath the GST charge of Rs 17, an additional Rs 3 was listed as “rounded-off amount.”

Dr B Radheshyam, who travelled from Surathkal to Mangaluru on a Rajahamsa bus, found he had been charged Rs 40, while the printed fare was only Rs 35. Radheshyam emailed KSRTC’s Mangaluru division, seeking a refund.

He expressed concern over the broader implications of the practice.

“The issue may seem minor, but it reflects larger operational ethics and treatment of the public. If a public transport deviates from principles of fairness, transparency and accountability, it not only undermines public trust, but also erodes the credibility of the institution,” he said.

When contacted by DH, Rajesh Shetty, the KSRTC’s Mangaluru division senior divisional controller, defended the practice.

He said fare rounding off is done in accordance with a KSRTC circular issued in 2016, which was approved by the board of directors. The policy, he said, was introduced to address the difficulty faced by conductors and franchise operators in returning exact change.

KSRTC’s justification is that passengers too benefit under the rounding off policy, sometimes. For instance, fares between Rs 31 and Rs 34 are rounded off to Rs 30.

“Since it is not a neutral rounding-off mechanism, KSRTC always benefits. With precise digital payment tools in place, the rounding-off policy is outdated,” Radheshyam says.

S S Nayak, former chairman of the Mangalore branch of the Institute of Chartered Accountants of India, echoed these concerns.

“Fare collection should be strictly in accordance with the officially notified tariff,” he said. 

Raghu Srinivasan pointed out that such practices were not followed elsewhere.

“The Kerala State Road Transport Corporation issues a ticket for Rs 228 in its semi-luxury buses without rounding off the fare in that state,” he noted.

Taxpayers who are already under a financial pressure should not be burdened further by arbitrary fare rounding off, Nayak said.