APSRTC Hikes Bus Fares In Andhra Pradesh

Diesel rates have risen by almost 60 per cent, reducing revenue by Rs 5,680 crore in two years, Rao said.

Representational Image(Photo :ABP Desam)

Hyderabad: Andhra Pradesh state government has decided to increase RTC bus fares in the form of diesel cess in the wake of rising diesel prices.

APSRTC MD Dwarka Tirumala Rao spoke to the media regarding the fare hike and said the RTC had faced many financial difficulties in the last two years. RTC is helping as many as 61 lakh people reach their destinations on a daily basis. Diesel rates have risen by almost 60 per cent, reducing revenue by Rs 5,680 crore in two years, Rao said.

Rao said that the RTC was now in a situation where it could not bear the losses and had to take a decision of increasing the diesel cess without changing the ticket price under mandatory conditions.

As part of the rakes hike, the state public transport body has decided to increase diesel cess by Rs 2 for Palle Velugu buses, Rs 5 for express services and Rs 10 for high-end (AC) buses. The RTC MD clarified that this is only a cess levied entirely on diesel and not ticket revision.

The minimum fare on the Palle Velugu bus will be Rs 10 from Thursday. He also said that in addition to the minimum charge of Rs 10, Palle Velugu buses would be charged Rs 2 (cess) and Rs 1 (safety cess).

Rao said that the new hike in diesel cess levied will earn Rs 720 crores a year for the RTC. At present, RTC does not incur any operating expenses. The vacant space in the RTC would be leased out. Revenue will also be increased through cargo services, he added.

(With inputs from ABP Desam — It is a Telugu platform of ABP News. For more news, commentary and latest happenings from two Telugu states, follow https://telugu.abplive.com/)