Has KTC missed the bus? Shortfall of 250 buses nullifies the massive cut in losses

Team Herald

PANJIM: Scrapping of the old buses and the current deficiency of Kadamba Transport Corporation (KTC) buses is hitting the last mile connectivity plan of the government. And though the KTC has managed to drastically reduce its losses from over Rs 22 cr in 2017 to a mere Rs 83 lakh in 2021-22, the massive shortfall of 250 buses, will make KTC struggle to have enough uses going to every corner of the State.

Clearly, the economics of making your bus literally drop you home is weighing against the good intentions of KTC.

The KTC management has revealed after 38 Internal Combustion Engine (ICE) buses were scrapped, 85 more buses are going to be scrapped in the next six months, beginning with 35 in April alone.

With a current shortfall of 200 to 300 buses in Goa, the scrapping of buses is set to increase the troubles in managing the fleet of the State transport service.

Kadamba Transport Corporation Chairman and MLA Ulhas Tuenkar has admitted that there is a shortage of 200 to 300 buses in the fleet of the Corporation. 

“Because of the new rule for scrapping vehicles older than 15 years several buses of KTC will be scrapped. This month 35 buses will be scrapped,” he said. KTC will be scrapping another 50 buses in the next six months as their serviceable age according to the new rules will end soon.

The State carrier has been facing a shortage of buses for several years. The commissioning of electric buses into service provided some relief to the same. However, the State is seeing a substantial rise in people taking up public transport every year. According to the Economic Survey of Goa 2021-22, the KTC has faced a loss of Rs 83 lakh, which is substantially lower compared to the yesteryears. However, the KTC has also not improved much on their earning per kilometre which is Rs 106.72 for the year 2021-22, which compared to 2020-21 is Rs 104.51 per kilometre.

The addition of some EV buses to the fleet  will not quite be enough

The KTC currently has 445 ICE buses and 50 EV buses. KTC will be receiving 22 mini EV buses on April 25 of the 48 buses that are supposed to be hired. The General Manager of KTC Sanjay Ghate informed, “The buses will be on a hire purchase basis @48 rupees per kilometer.”

However, that still leaves a gap of 250 buses that need to be infused into Goa to achieve the last mile connectivity as far as road transport is concerned. The government recently announced that the State will receive 100 Electric 9-metre buses under the Fame II Scheme.

A large number of ICE buses purchased by the KTC in the past which doubled up as backup plans for the KTC routes will soon go out of service due to the vehicle scrapping policy. At the pace at which the KTC is leasing buses for use the fleet will fall short to service the entire State.

However, chairman Tuenkar said, “We are purchasing some ICE diesel buses to compensate for the deficiency.”

But with a shortfall of 250 buses, KTC appears to have missed the bus, of full-fledged connectivity.

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More spent on leasing, revenue 

all-time low: Tamankar

“KTC is spending much more on leasing EVs from private companies. The actual revenue from the ticketing of passengers is an all-time low. The reduction of loss that is being claimed by the government in the Economic Survey is by means of adding up revenues from other sources,” Sudip Tamankar said. 

According to data between April 2021 and March 2022 KTC earned Rs 5.18 crore. Between July 2021 and July 2022, KTC paid Rs 5.91 crore as payment towards the lease of 50 EV buses. Tamankar informed us that the KTC is making an 80 percent loss. 

(Sudip Tamankar is General Secretary of the All Goa Private Bus Owners’ Association)