Karnataka to reimburse transport bodies for revenue shortfall following Shakti scheme

SECTIONS

Mrunmayee Kulkarni

, ET BureauLast Updated: Jun 29, 2023, 12:13 AM IST

Font Size

Save

Comment

Synopsis

The state owes regional transport corporations (RTCs) about Rs 194 crore for the first 15 days since the Shakti scheme was launched on June 11, according to data released by the transport department.

Bengaluru: The Karnataka government plans to reimburse its transport corporations every month for the revenue shortfall they would face due to the Congress regime's scheme that allows free bus rides for women, transport minister Ramalinga Reddy told ET.

The state owes regional transport corporations (RTCs) about Rs 194 crore for the first 15 days since the Shakti scheme was launched on June 11, according to data released by the transport department.

Till Monday, around 82.4 million women had travelled for free in the buses. The Bengaluru Municipal Transport Corporation (BMTC) had the highest ridership at around 27.2 million, costing about Rs 34.07 crore. The Karnataka State Road Transport Corporation, which ferried 24.2 million women, had an estimated revenue shortfall of Rs 73.04 crore.

The Shakti scheme, allowing women to travel for free in non-A/C government-run buses, is one of the five promises the Congress had made before the assembly elections. The government estimates that the programme would cost the state Rs 4,050 crore every year. Minister Reddy estimated that 80% of the monthly pay-outs would be used for paying salaries and covering fuel costs.

Wednesday, 28 Jun, 2023

Experience Your Economic Times Newspaper, The Digital Way!

Read Complete Print Edition »

Front Page
Pure Politics
ET Markets
Smart Investing
More

People See Opportunity When They Look at India
Wall Street giant Goldman Sachs' Solomon, 61, said he's not bothered about all the noise, his focus remains on serving clients and the Goldman share price performance.
HDFC-HDFC Bank Merger Likely to be Effective July 1
The merger of HDFC Corp with the country's largest private lender HDFC Bank will likely take effect July 1, chairman of India’s mortgage-lending pioneer Deepak Parekh said Tuesday. The combined entity will have an asset base of around ₹18 lakh crore, or in excess of $200 billion.
Vested Interests Exploited Hindenburg Report to Manipulate Stocks: Adani
Gautam Adani said the Hindenburg Research report on the Adani Group was a “combination of targeted misinformation and outdated, discredited allegations”. Vested interests used the report to manipulate Adani Group stocks, he said in the annual report of flagship Adani Enterprises released on Tuesday.