Karnataka to Form New Committee for Regulating Bus Fares
Bengaluru: The Karnataka government is setting up a Public Transport Fare Regulatory Committee (PTFRC) to handle bus fare revisions. This move aims to protect the state’s transport corporations from financial losses and ensure that fare increases are not influenced by political pressure.
The new committee will function similarly to the Karnataka Electricity Regulatory Commission (KERC), which oversees electricity tariffs.
According to officials, the cost of diesel has nearly doubled in the last ten years. In 2014, the daily operational expenses for the transport corporations were ₹7 crore, which have now surged to ₹13 crore. During the same period, daily staff-related costs have also risen from ₹6 crore to ₹12 crore.
The government believes that a gradual increase in fares is necessary to avoid placing a sudden financial burden on passengers.
The draft notification states that the committee will be chaired by either a retired Additional Chief Secretary or a retired judge of the Karnataka High Court. The members will include a retired Chief Secretary or Secretary with a legal background and an expert from the industry or finance sector. The Managing Director of the Karnataka State Road Transport Corporation (KSRTC) will serve as the Member Secretary.
The committee will regularly review the financial health of the transport corporations and recommend fare adjustments. It will also have the authority to impose surcharges or other fees when needed to improve the corporations’ performance.
As per the guidelines, the committee must present its recommendations to both houses of the state legislature after April 1st each year and submit an annual report by December 31st.
