In an attempt to tide over the fresh bout of crisis looming large over Kerala State Road Transport Corporation (KSRTC) after the Supreme Court verdict against granting fuel subsidy to the corporation, chief minister Oommen Chandy would hold discussions with oil company representatives on Wednesday.
The SC verdict that made KSRTC ineligible for fuel subsidy was unfortunate and the state government would seek all possible options to ensure the smooth functioning of the corporation that takes care of the public transport to a great extent in the state, Chandy told reporters here on Tuesday.
“We are meeting representatives of oil companies tomorrow and hoping that the meeting would yield some positive results,” he said.
According to the CM, the state government would think about filing an appeal against the verdict by SC, which upheld the oil companies’ stand that bulk consumers such as KSRTC were not eligible for fuel subsidy. “The state government would also take steps to ensure that the corporation is able to function without suffering from additional financial burden. This would be done without causing inconvenience to public,” he said.
In its reply to Indian Oil Corporation’s (IOC) petition, the KSRTC had informed the Supreme Court that the corporation was not in a position to revise passenger fare in accordance with the frequent changes in fuel price.
The Kerala high court had earlier upheld the KSRTC demand and in an interim order asked the oil companies to provide fuel subsidy to the corporation.
However, IOC challenged the HC verdict in the Supreme Court and eventually on Monday the top court ruled that the KSRTC need not be given fuel subsidy. Taking a dig at the road transport corporation, the court also said the crisis in the corporation was not created by the fuel price hike, but due to professional incompetence. The court also asked the corporation why it was granting free passes to people’s representatives and media persons.
Thiruvananthapuram: In an attempt to tide over the fresh bout of crisis looming large over Kerala State Road Transport Corporation (KRTC) following Supreme Court verdict against granting fuel subsidy to the corporation, Chief Minister Oommen Chandy would hold discussions with oil company representatives on Wednesday.
The SC verdict that turned KSRTC ineligible for fuel subsidy was unfortunate and the state government would seek all possible options to ensure the smooth functioning of the corporation that takes care of the public transport to a great extend in the state, Chief Minister Oommen Chandy told reporters here on Tuesday. We are meeting representatives of oil companies tomorrow and hope the meeting would result some positive results”, he said.
According to the CM, the state government would think about filing an appeal against the SC verdict, which upheld the oil companies’ stand that bulk consumers such as KSRTC were not eligible for fuel subsidy. The state government would also take steps to ensure that the corporation is able to function without suffering from additional financial burdens. This would be done without causing inconvenience to public”, he added.
In its reply to Indian Oil Corporation’s petition, the corporation had informed the Supreme Court that the corporation was not in a position to revise passenger fare in accordance with the frequent changes in fuel price. The Kerala High Court had earlier upheld the KSRTC demand and in an interim order asked the oil companies to prove fuel subsidy to the corporation.
However, Indian Oil Corporation (IOC) challenged the HC verdict in Supreme Court and eventually on Monday the higher court ruled that the RTC need not to be given fuel subsidy. Taking a dig at the corporation, the court also said the crisis of the corporation was not created by the fuel price hike, but due to the professional incompetency. The court also asked the corporation why it was granting free passes to people’s representatives and media persons.
Source: Times of India
