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Cash-strapped BMTC gets Rs 100 crore subsidy from govt
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Cash-strapped BMTC gets Rs 100 crore subsidy from govt
Bengaluru: In a breather for the cash-strapped BMTC, the state government on Wednesday finally released the Rs 100-crore subsidy, as was announced in its state budget. The transport corporation will utilise the money to clear the dues of its employees as well as to revamp its ageing fleet.
With Namma Metro and ride-hailing cabs becoming extensively popular among commuters, issues of decreasing ridership, revenues and increased fuel prices have been dragging the BMTC into losses year on year. Moreover, its recent proposal to increase fares was rejected by the government.
According to a BMTC official, the corporation had to clear medical reimbursement bills, dues to retired employees and to the next of kin of employees who died in service. In the year 2017-18 BMTC witnessed 38 deaths of employees and 127 retirements, and it has to clear Rs 65 lakh as dues to various hospitals. The corporation also has to clear dues related to student bus passes, he informed.
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