How NWKRTC recorded 65,000 UPI transactions worth Rs 1.5 crore in 3 months

However, as per the corporation’s estimation, the value of cash transactions against UPI transactions in this division is just around 8 per cent. In terms of transaction count, it is much lower at 2 per cent.

According to Bharath Selvan, managing director of NWKRTC, the adoption of UPI payments happened without any financial burden on the corporation. This was achieved through a proposed system consisting of a static QR code placed with the conductor (in the form of an identity card) that is mapped to the bank account of the depot they are working with.

This further allows the corporation to monitor through a dashboard and, if required, initiate a refund of the amount transferred by the depot officials. The business version of their mobile application allows the conductor to authenticate the transaction if needed. This meant that a digital payment option could be provided without incurring expenses for hardware upgrades or service charges, says Selvan.

NWKRTC first piloted the UPI payment option in September 2023 in Hubli Moffusil 3 depot which operates around 60 services that are mostly long-distance and premier services.

“The first depot we chose was selected for its high-value tickets and better-trained crew. We targeted the higher digital literacy of the possible passengers of these services and the lesser transaction count in this depot as we did not want to burden our staff with this newly introduced payment method. With passengers able to save the expense of handling hard currency and our conductors not having to dispense high-value change, we received a positive response. Within a month, we were ready to extend it to all five depots of Hubli Rural Division,” said Selvan.

Since the expansion, the number of transactions has averaged over 500 daily. However, according to Selvan, by mid-December, the cumulative UPI transactions in the Hubli Rural. As part of scaling the initiative to all the depots, Selvan said work is already in progress where conductors are being mapped internally.

“Details of over 7,000 conductors of NWKRTC are being shared with the platform and the internal mapping is completed. This means providing QR code tags to all the 700 conductors in five districts and seven divisions, updating software in their mobile, training and orienting them. If all goes as planned, by the end of January 2024, all buses in NWKRTC will have an on-board UPI payment facility,” said Selvan.

He added, “There were challenges in demystifying the QR code model for the conductors. They were hesitant to adapt to the new model, given the problems they faced at depots. They feared that any mistake on their end would attract a penalty. Especially when payments are made in UPI and cash modes, and there is a mismatch during the total tally. However, with continuous training, we were able to boost their confidence.”

NWKRTC has also proposed to revise the QR code design to ensure platform neutrality. Further, it is also planning to introduce advance reservations for short-distance routes, and the pilot has already begun on the route connecting Hubli and Vijayapura.

Meanwhile, Karnataka State Road Transport Corporation managing director V Anbukumar stated that state buses will introduce UPI payments in March 2024, a slightly different version from NWKRTC. “The current machines available with KSRTC are not compatible with UPI and other modes of payments. Hence, we are going for a full-fledged system enabling payments through UPI, National Common Mobility Card (NCMC) and ATM cards. We are finalising the tender and will hopefully be able to offer multiple modes of payment by March,” said Anbukumar.