How MSRTC’s Losses Mount to ₹3 Crore a Day – What’s Next?
Maharashtra State Road Transport Corporation (MSRTC) is facing a daily loss of Rs 3 crore due to fare concessions offered to women and senior citizens, according to Maharashtra’s Transport Minister Pratap Sarnaik. He announced that moving forward, no further travel concessions will be provided on ST buses.
Sarnaik, speaking at an event in Dharashiv, highlighted that the 50 percent fare discount for women and the 75 percent concession for senior citizens have significantly contributed to MSRTC’s financial losses. He stated:
“If we continue granting such benefits, running MSRTC will become extremely challenging. Therefore, we cannot consider further concessions.”
Also Read: MSRTC Increases Ticket Prices by 14.95% Starting Today
Impact of MSRTC Loss on Financial Health
The state transport corporation is already struggling financially, and the ongoing losses add to its burden. Maharashtra is currently facing a financial deficit of Rs 2 lakh crore, raising concerns about the sustainability of such subsidies.
Key Financial Challenges
- Daily Loss: Rs 3 crore due to fare concessions.
- Total Financial Deficit: Rs 2 lakh crore in Maharashtra.
- Previous Election Schemes: Likely to be reviewed or discontinued.
- Future Concessions: No additional discounts to be provided.
Government’s Stand on MSRTC Loss
While Sarnaik emphasized the need to prioritize tribal connectivity over fare concessions, opposition parties have accused the government of mismanaging funds. However, the state administration maintains that its financial strategy aims at long-term sustainability.
Deputy Chief Minister Eknath Shinde addressed growing speculation regarding the rollback of fare concessions, clarifying:
“The fare concessions for women and senior citizens in ST buses will not be revoked. We will honor the promise made to passengers.”
Also Read: MSRTC to Set Up Two New Charging Stations at Swargate and Dapodi
MSRTC’s Path Forward
MSRTC currently faces a significant financial challenge, with daily losses accumulating. The state’s overall financial deficit of Rs 2 lakh crore only adds to the burden. The 50 percent fare discount for women and 75 percent concession for senior citizens have been key factors contributing to these losses.
Going forward, the government has decided against offering additional travel concessions, focusing instead on sustainable measures to maintain transport services for the public.
