The primary mode of transport in India is roadways and its road network is the 2nd largest after the United States of America.
We all know Indian Railway is the lifeblood of the economy and the fourth largest network in the world after the USA, Russia and China. Daily passenger travelling is 24 million on Indian railways, however, public transport carries over 75 million passengers daily.
If almost thrice the number of passengers are taking public transport still why the condition of the buses are poor and low maintained.
According to the Ministry of Raod Transport and Highways report, in which they covered 56 out of 62 SRTUs (State Raod Transport Undertakings). It was observed only 7 SRTUs made a profit while the rest were in losses.
The question that remains unanswered is why the public bus service is bleeding!
The answer is bus service has always been a platform for vote bank strategy and mismanagement at the policy level.
To understand more in detail, let’s look into the fare in the few SRTUs:
| SRTUs | Fare (In Rs.) |
|---|---|
| Bengaluru Metropolitan Transport Corporation (BMTC) | Rs. 5 for 2km (Non AC) |
| Telangana State Road Transport Corporation (TSRTC) | minimum Rs. 15 |
| Brihanmumbai Electric Supply and Transport (BEST) | minimum Rs. 6 |
| Lucknow City Transport Services Ltd. (LCTSL) | Rs. 5 for 3km (Non AC) |
| Delhi Transport Corporation (DTC) | Rs. 5 for 4km (Non AC) |
Public bus transport is a mode of transport for those who can’t afford to pay a premium charge for services like cabs/taxis or even metros. Therefore, the government has to provide subsidiaries in the transport system.
The question remains can it be made operationally viable based on the fares, however, it is to be noted that SRTUs are not totally dependent on the traffic (i.e. passenger fare) revenue rather 50%-60% of revenue contribution comes from advertisement.
Let’s look into the operational feasibility and if the fare changes how it is going to impact:
Based on the current scenario, the average fare for a 10 km travel is Rs. 17 which is making losses. However, to reduce the operational loss by half and by not affecting the pockets of the commuters, fares can be increased by a Re. 1. This will help the government to invest more in new quality buses which in turn can also reduce the cost by improving mileage.
But how are few countries able to provide free public bus service? The answer lies in the importance of public transport service in the respective countries.
In India currently, less than 1% is allocated to public transport from an annual budget of road transport and highways.
Secondly, the bus transport facility is not utilized for freight services because currently, the volume is low. So the government is not exploring local parcel movement while this could be a new source of revenue.
Lastly, the population India has to cater too which can’t be compared with countries that provide free public bus service.
Conclusion
Government should look into public bus transport and explore options to build a sustainable model before it bleeds and dies.
If any suggestions/recommendations or help are required, please feel free to contact me.
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