Newskarnataka – Bangalore

Bangalore: The common man will suffer yet again due to price rise and this time it is the Bangalore Metropolitan Transport Corporation (BMTC) that has hiked the bus fares by 15 percent with effect from midnight of  Thursday April 24.

The BMTC has to increase its revenue by more than Rs 300 crore during the current fiscal to cover the losses of 2013-14 as well as to take care of future increase in the cost of operation. The hike in prices is expected to bring additional revenue of around Rs 235 crore during the financial year 2014-15.

A BMTC official said that the increase in diesel prices and staff cost as well as other consumables has pushed the BMTC into losses. The balance increase of Rs 60 to 65 crore will be achieved through ongoing process of route rationalization and by improving performance parameters, the Corporation said while explaining the reasons for the fare hike, he said.

Officials say there is going to be further increase in diesel prices in the coming months as well as increase in Dearness Allowance of the BMTC staff.