Hyderabad: Telangana State Road Transport Corporation (TSRTC) chairman Bajireddy Govardhan said that they hoped the government increases ticket fares so as to avoid losses. He added that there’s no link between the safety cess and the RTC charges introduced by the government.
Govardhan said that because of the toll plazas, RTC is seeing heavy annual losses.
“The newly introduced safety cess is of one rupee. Other states have been collecting it, and we have now begun to collect it. It’s just a cess and not a charge by the government. Because we pay for the toll plazas as well, we’re facing losses of 70-100 crores annually. We hope the government does introduce price hikes. But even if they did, we would only be out of debt and not in profits,” he said.
The TSRTC updated its ticket prices last week. A circular showing a proposal to introduce a ‘safety cess’ was released, and existing rates were rounded-off to the next multiple of Rs 5. The RTC is currently under severe deficit and the corporation is suffering a loss of crores of rupees annually. This year, the state is likely to incur a deficit of Rs 1200 crore.
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