Shakti scheme not responsible for KSRTC’s financial losses: Karnataka transport minister

The Shakti scheme introduced by the Karnataka state government has been a topic of discussion lately, with conflicting opinions on its impact on the financial losses of the Karnataka State Transport Corporation (KSRTC). Transport minister Ramalinga Reddy recently stated that the scheme, which offers free bus travel for women within the state, has actually increased KSRTC’s ridership by 2 million annually and has not caused any financial losses for the corporation.

Despite Reddy’s reassurances, KSRTC has submitted a proposal to the state government to increase bus fares by 15-20% due to financial losses. The chairman of KSRTC, SR Srinivas, attributed an operating loss of ₹295 crore in the past three months to the Shakti scheme and emphasized the need for a fare hike for the survival of the corporation.

On the other hand, Reddy pointed out that the financial difficulties faced by KSRTC are primarily due to rising fuel prices, increased costs of spare parts, and employee salaries without any fare adjustments in nearly a decade. He highlighted the significant contribution of Karnataka to the Central government’s tax revenue and questioned the lack of relief provided to the state.

The proposed fare hike has sparked criticism from the opposition, with BJP state president BY Vijayendra expressing concerns about the overall increase in prices affecting the common man. The debate surrounding the Shakti scheme and its impact on KSRTC’s financial situation continues to unfold, with different stakeholders presenting contrasting views on the matter.

As the situation evolves, it will be interesting to see how the state government addresses the financial challenges faced by KSRTC and whether any adjustments will be made to ensure the sustainability of the corporation. Stay tuned for more updates on this developing story.