What ails KSRTC? Bus shortages, restless staff & financial constraints

KSRTC Managing Director V Anbukumar spoke to DH about all things related to the transport corp

KSRTC Managing Director V Anbukumar’s daily schedule is hectic. He spends several hours a day redressing the grievances of the state transporter’s vast network of bus drivers and conductors. Many of them approach him seeking postings of their choice; some ask for remission of punishment, others seek revocation of suspensions or dismissals.

One of the biggest public transport operators in the country, KSRTC has struggled of late. It’s facing stiff competition from private players, its fleet is depleted and ageing, it’s making losses and its staff are restless because they haven’t had a pay raise for more than six years now.

Anbukumar takes time off from his busy schedule for a freewheeling conversation with Muthi-ur-Rahman Siddiqui of DH about all things KSRTC. Edited excerpts:

What are KSRTC’s biggest challenges?

We are currently living hand-to-mouth. That is mainly because of high diesel prices. Unlike private operators, we cannot stop running bus services on unprofitable routes because we have a duty to serve even the remotest parts of the state. About 35 per cent of our buses have a load factor of less than 70 per cent. Further, 17 per cent of our passengers are students. We haven’t increased student bus pass fares for the last 12 years. Achieving operational profitability is a challenge.

How do you plan to overcome these challenges?

We need to raise bus fares by 30 per cent or else the government should support us with viability gap funding (VGF). We need a clear formula for the VGF.

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How has the government responded?

The government isn’t in favour of raising the fares because that will hit the common people. It has so far supported the four Road Transport Corporations (RTCs) with Rs 5,600 crore. We are grateful that the government has supported us through thick and thin.

How have diesel prices affected the KSRTC’s finances?

Until about two years ago, our daily revenue was Rs 9.5 crore. Of this, we spent Rs 3.5 crore on diesel. Back then, diesel cost Rs 60-63 a litre. But now, the price hovers between Rs 90 and Rs 95. We spend Rs 5.5 crore a day on diesel alone. That has hit us hard.

KSRTC’s fleet is ageing and depleting. What steps have you taken to enhance and improve it?

In 2019, we had 8,200 buses. Due to the vehicle scrappage policy, this number has now gone down to 7,600. Of these, only about 7,400 are actually on the road. We usually scrap an ordinary bus after it runs for 10 lakh kilometres. We are trying to increase a bus’ life by refurbishing its engine. That adds another 1-2 lakh kilometres to the bus’ life. We are pushing for an aggressive policy to buy new buses. In 2023-24, we will buy 1,000 buses, and over 300 of them will be electric.

People in rural villages complain about poor bus services.

Their grievances are genuine. We are hopeful that the new buses will help us serve them better.

KSRTC employees have been unhappy that they haven’t received a pay raise. What has KSRTC done to address their grievances?

As per the rules, KSRTC staff should get a 5 per cent-12 per cent pay raise every four years. The last time they got a pay hike was in 2016. They were due for a raise in 2020, but Covid prevented that. We will be meeting the employees’ union on February 27 and will soon decide on a pay hike. We have already announced a 27 per cent hike in the dearness allowance, which will put an additional financial burden of Rs 43 crore a year on us.

Employees have threatened to go on strike on March 1.

It’s not a strike but a protest call. We are working to consider their demands.

What about staff recruitment? Why are you hiring employees on contract?

The last time we hired employees was five years ago. We haven’t launched a new recruitment drive because of financial constraints. As for hiring employees on contracts, that’s in no way connected to privatisation. We are hiring 350 of them for Dakshina Kannada, Puttur, Udupi, Chamarajanagar and Ramanagar divisions. The majority of our drivers and conductors are from North Karnataka. They find it difficult to work in these divisions for more than 10 years because of family reasons, food habits, etc. We wouldn’t hire drivers on contract if this issue wasn’t there.