Karnataka transport minister says 40% of state-run buses make losses across India

Of the buses operated by the corporations, 40 per cent suffer losses. “Yet we operate. Will private operators run buses on these routes?” he said, adding that another 30 per cent of the buses operated on a “no profit, no loss” basis. “Only 30 per cent of the buses operated on long routes are profitable,” he said.

A written response tabled by the minister in the Legislative Council to a question by MLC Prasad showed that the losses suffered by four state-run corporations—the Karnataka State Road Transport Corporation (KSRTC), the Bengaluru Metropolitan Transport Corporation (BMTC), the North West Karnataka Road Transport Corporation (NWKRTC) and the Kalyana Karnataka Road Transport Corporation (KKRTC)—over the past five years amounted to Rs 5,209 crore.

Between 2019-20 and 2023-24, the KSRTC incurred losses of Rs 1,500.34 crore, the BMTC Rs 1,544.62 crore, the KKRTC Rs 777.64 crore and the NWKRTC Rs 1,386.58 crore. In addition to a hike in ticket fares, the state government has budgeted a Rs 2,000-crore loan for the SRTCs to help manage increased operating costs due to rising oil prices, revisions of employee salaries and other expenses.

Regarding the Shakthi scheme, he said the total subsidies owed by the government to provide free bus rides for women amounted to Rs 9,978 crore, of which Rs 7,796 crore had been paid to the SRTCs.