News

Move to allot new permits for pvt buses hits KSRTC

By Sujith Bhakthan

July 16, 2014

The government decision to postpone the proposal of the Kerala State Road Transport Corporation (KSRTC) to take over the permits of super class (super-fast, fast passenger and super express) private bus services, has dashed KSRTC’s hopes to increase its revenue.

Last month, KSRTC had decided not to renew the permit of private super class buses across the state and, instead, replace them with KSRTC buses. A court verdict supported the decision. But last week, following political pressure, the government decided to postpone the decision citing shortage of KSRTC buses. The government has also decided to consider over 1,500 pending applications from private bus owners for fresh super class permits.

An official with the KSRTC in Malappuram, preferring anonymity, said the corporation’s decision was a good opportunity to increase its revenue and help tide over the financial crisis. It is being alleged that the decision to grant new permits to over 1,500 private buses that applied for super class services will also drain the revenue of KSRTC services across the district.

It is estimated that with the introduction of the new fast and super-fast private buses on the Ernakulam-Kozhikode route, KSRTC would stare at a loss of at least Rs 5 lakh in the daily revenue of the 31 KSRTC buses operating on the route via Chamravattom. It is learnt that 20 new private super class services would be operated between Ernakulam and Kozhikode as per the new government decision. Employees’ unions are yet to mark protest against the decision. The move could also hit students as they cannot avail concession in private super class services.

Meanwhile, KSRTC zonal officer K P Vincent said the decision was taken in the wake of the delay in purchasing new buses. “With the available buses we cannot take over services along private bus routes. We will take back the permits for private super class buses once new buses are bought,” he said.

State committee member of Kerala State Road Transport Employees Association (KSRTEA) V S Indukumar said the corporation expected an additional revenue of at least Rs 60 lakh per day by taking over super class private services in Malabar. The association is all set to start protest programmes against the move. “We took over many super class private services after the court verdict in favour of KSRTC. All those services are making profit. But the fresh decision will sabotage efforts to generate additional revenue,” he said.

KSRTC was the fleet owner of all super class services in the state. But the high court, in an interim order, cancelled the KSRTC’s fleet owner status in 2008. Following this, the government issued an order clarifying that KSRTC is the only fleet owner of super class services in the state, in 2011. But private bus owners moved court against the order. On July 7, 2014, the court issued a verdict in favour of the KSRTC and government. But the government has decided to step back from the order and has decided not to take over 246 private super class services in state.

Times of India