Shakti dues: Govt clears Rs 11,748cr, still owes Rs 4,006cr to RTCs | Bengaluru News
Bengaluru: The state’s road transport corporations are facing mounting financial stress due to delays in reimbursement of dues by the govt for implementing Shakti scheme. The govt currently owes around Rs 4,000 crore to the four road transport corporations (RTCs).Shakti scheme, the first among the five guarantee schemes launched by Congress govt after assuming office, was rolled out on June 11, 2023, at a grand event on the steps of Vidhana Soudha. Under the scheme, women across the state are allowed to travel free of cost in ordinary buses operated by the four RTCs. Daily over 1 crore women avail the facility in more than 20,000 buses. Over the last two-and-a-half years, the state govt spent Rs 11,748 crore on providing free bus travel to women. Nearly 650 crore tickets were issued by RTCs during this period. Karnataka State Road Transport Corporation (KSRTC) received the highest reimbursement of Rs 4,483.6 crore, followed by North Western Karnataka Road Transport Corporation (NWKRTC) at Rs 2,887 crore and Kalyana Karnataka Road Transport Corporation (KKRTC) Rs 2,357.7 crore. The Bengaluru Metropolitan Transport Corporation (BMTC), which operates city bus services in the state capital, received Rs 2,020.3 crore. Despite the scale and popularity of the scheme, over Rs 4,000 crore in reimbursements remain pending, exacerbating the financial strain on cash-strapped corporations. The govt owes Rs 4,006 crore towards Shakti scheme alone — Rs 1,180 crore for 2023–24, Rs 1,170 crore for 2024–25 and Rs 1,655 crore for 2025–26 financial year (till Nov). The RTCs have been incurring losses for consecutive years, and delays in reimbursement may worsen their financial position. Between 2020–21 and 2024–25, the corporations suffered cumulative losses of Rs 7,469.5 crore, a period that also includes financial stress caused by Covid-19 pandemic. Among them, BMTC recorded the highest loss of Rs 2,585 crore, followed by KSRTC with a loss of Rs 1,979 crore. Non-reimbursement of dues is likely to affect the corporations’ ability to clear pending bills of contractors, make payments to oil companies, meet provident funds and gratuity obligations and invest in fleet expansion. Responding to concerns over pending reimbursements, transport minister Ramalinga Reddy said the govt has been extending financial support to RTCs in multiple ways – Rs 2,000 crore loan assistance, with the govt bearing both the principal and interest, and funding for induction of 2,000 new buses. An additional Rs 224 crore has been allocated for clearing pending payments to retired employees, while exemptions amounting to Rs 1,219.2 crore have been provided from motor vehicle tax. GFXWhat govt paid to RTCs (2023-24 to 2025-26 (till Nov) KSRTC – Rs 4,483.6BMTC – Rs 2,020.3 NWKRTC – Rs 2,887.1KKRTC – Rs 2,357.7Total – Rs 11,748.7 crore Pending DuesKSRTC – Rs 1,580.1 crore BMTC – Rs 710.8 crore NWKRTC – Rs 988.1 crore KKRTC – Rs 727.4 crore Total – Rs 4,006.5 crore (Figures rounded off, Rs (crore)
