Bengaluru's BMTC bus fares likely to increase amid rising fuel prices

Karnataka Deputy Chief Minister Laxman Savadi, who holds the Transport portfolio, on Thursday suggested that fares for Bengaluru Metropolitan Transport Corporation (BMTC) buses might be increased and added that the final call will be taken by the Chief Minister. The Transport Department has hinted that the fare hike is required to save the financially state-run corporation in wake of rising fuel prices and losses suffered during the pandemic.

Savadi told reporters that there is a call for increase in fares as those have not seen a hike since 2014-15.  Speaking to The Hindu, C Sikha (IAS), Managing Director of BMTC said that the corporation was staring at a loss of Rs 700 crore for the current financial year and had suffered a loss of Rs 540 crore in the financial year 2019-20. She said that without the government’s grants, the corporation would have found it difficult to clear salaries.

However, in actuality, BMTC is already the most expensive state run bus service in the country. 

Savadi also said that no other state run transport corporations like the KSRTC (Karnataka State Road Transport Corporation) for example, will see a fare hike. This is because those corporations have already seen a 12% hike last year.

Activists have however warned that they will stage protests if the state government goes for a fare hike. Instead, they said that the government should give subsidies to the BMTC so that it can cater to the people and not run like a profit-seeking corporation.

Vinay Sreenivasa, an activist, said, “BMTC is under loss mainly because of high diesel prices. It's insane that BMTC (and therefore bus commuters) have to pay several hundred crore in taxes on diesel. Why not offer diesel without taxes to BMTC ? Why not increase state support? Any hike in fares is unacceptable.”