<p>Even as the BMTC looks to reduce its losses, the cost of students’ concessional passes is weighing the transport company down.</p>.<p>The prevailing arrangement allows the government to pick up 50% of the cost on a student concessional pass, while the Bangalore Metropolitan Transport Corporation (BMTC) and the students share the rest.</p>.<p>Documents revealed that the state government failed to release Rs 127.47 crore of its contribution between 2013-14 and 2019-20, while Rs 398.1 crore of the students’ share has not been collected. Left with the financial burden, the transport company now depends on the government to pay salaries.</p>.<p>Government sources said the Rs 398 crore is pending from departments that committed to pay the 25% share of the students hailing from economically weaker sections.</p>.<p>"It is not a problem limited to the BMTC. Other corporations, including KSRTC, have pending reimbursements and have brought the issue to the notice of the government. However, after the pandemic, officials have not been able to raise the issue," the source explained.</p>.<p>The government has supported the four corporations to dispense salaries for their employees. "Even now, the government is giving Rs 50 crore every month to the BMTC towards salary expenditures. Other corporations are also getting some amount as revenue generation is yet to recover to the pre-pandemic levels," an official said.</p>.<p class="CrossHead">Piling loans, liabilities </p>.<p>Data also revealed that the BMTC has piled up loans of Rs 915.14 crore till the end of October and has an outstanding liability of Rs 815 crore, out of which Rs 258 crore is towards pending provident fund and gratuity payments.</p>.<p>A government official said the one-man commission set up under retired IAS officer M R Srinivasamurty will consider the issues and possible solutions from assets monetisation to government support before submitting its report on reviving the corporation.</p>
<p>Even as the BMTC looks to reduce its losses, the cost of students’ concessional passes is weighing the transport company down.</p>.<p>The prevailing arrangement allows the government to pick up 50% of the cost on a student concessional pass, while the Bangalore Metropolitan Transport Corporation (BMTC) and the students share the rest.</p>.<p>Documents revealed that the state government failed to release Rs 127.47 crore of its contribution between 2013-14 and 2019-20, while Rs 398.1 crore of the students’ share has not been collected. Left with the financial burden, the transport company now depends on the government to pay salaries.</p>.<p>Government sources said the Rs 398 crore is pending from departments that committed to pay the 25% share of the students hailing from economically weaker sections.</p>.<p>"It is not a problem limited to the BMTC. Other corporations, including KSRTC, have pending reimbursements and have brought the issue to the notice of the government. However, after the pandemic, officials have not been able to raise the issue," the source explained.</p>.<p>The government has supported the four corporations to dispense salaries for their employees. "Even now, the government is giving Rs 50 crore every month to the BMTC towards salary expenditures. Other corporations are also getting some amount as revenue generation is yet to recover to the pre-pandemic levels," an official said.</p>.<p class="CrossHead">Piling loans, liabilities </p>.<p>Data also revealed that the BMTC has piled up loans of Rs 915.14 crore till the end of October and has an outstanding liability of Rs 815 crore, out of which Rs 258 crore is towards pending provident fund and gratuity payments.</p>.<p>A government official said the one-man commission set up under retired IAS officer M R Srinivasamurty will consider the issues and possible solutions from assets monetisation to government support before submitting its report on reviving the corporation.</p>