Due to poor response, city bus operator may incur Rs 52 cr loss

Source: The Hitavada      Date: 05 Dec 2017 09:43:33


Special Correspondent,

As against carrying capacity of 2.80 lakh commuters, only 1.65 lakh citizens are using city bus service leading to daily loss of Rs 14 lakh

The public transport in the city is not getting positive response of the citizens and is expected to register a loss of whopping Rs 52 crore. Nagpur Municipal Corporation (NMC) has deployed 350 buses in the city to provide cheap public transport, but bus operator are incurring huge losses, due to lukewarm response from citizens. As against the daily carrying capacity of 2.80 lakh commuters, the existing fleet is being used by only 1.65 lakh passengers every day and there is a shortfall of 1.15 lakh commuters. Each underutilised and unoccupied bus leads to a loss of Rs 20 per km. Such a dismal response has also forced the Transport Committee of NMC to put on hold its proposal to buy 45 new Midi buses.

The Vansh Nimay Infra Limited had deployed 140 to 150 buses in the city to carry 1.30 lakh passengers in the city. After appointment of new operators, the number of buses were increased from 140 to 350.

However, there was no corresponding rise in the number of passengers and only 35,000 more passengres were added to the tally, raising a big question mark over heavy investment made on other modes of public transport.

Sources claimed that the buses are getting good response only on certain routes. Even on these profitable routes only one way traffic is generated. The buses running from Hingna, Butibori, Kalmeshwar, Kamptee, Kanhan, Pipla, Besa, Dighori, Pardi are getting good response but only on their way inside the city. During morning hours, the passengers board public transport from Hingna and only during evening hours, the very same route witness heavy rush when very same set of passengers return to Hingna. During intervening period the buses do not sufficient passengers to make route affordable. The new 48 routes which were commenced recently by the Transport Committee also failed to get positive response of the citizens. The Committee is rescheduling these routes to reduce the loss.

Every bus is running 200 km per day and incurring loss of about Rs 20 per kms, due to less commuter load. This means, every bus roughly incurs a loss of about Rs 4000 per day. According to experts, the cumulative loss of 350 buses will be around Rs 14 lakh per day and the yearly loss of the buses may touch an alarming figure of Rs 52 crore. The civic body has to make a provision of Rs 100 crore for the operators in case of deficit.