State-run air-conditioned buses drive into losses

NAGPUR: The elite 'Shivneri' air-conditioned Volvo buses on Nagpur-Pune and Nagpur-Hyderabad routes have become a white elephant for Nagpur division of Maharashtra State Road Transport Corporation (MSRTC) due to poor occupancy. During peak holiday season when private players are operating over 25 buses on Nagpur-Pune route and almost 10 to 15 buses on Nagpur-Hyderabad route with full occupancy, MSRTC is planning to discontinue its AC bus services to these cities.A proposal in this regard has already been sent to MSRTC headquarters, a senior official requesting anonymity disclosed.
MSRTC officials admit the buses were running into heavy losses as their operating cost was more than the earnings. They said these services just failed to click. The main reason why the services failed to click is higher fare kept by MSRTC. MSRTC charges Rs 1210 for Pune compared to Rs 900 to Rs 1100 charged by private operators. Similarly, MSRTC charges Rs 837 for Hyderabad against Rs 700 to Rs 750 in private buses.
Initially, the Pune bus had received good response but then the passengers dropped. The only thing in favour of MSRTC is that it keeps the fare constant even during Diwali holidays when private operators jack up the rate to Rs 1500 or beyond. MSRTC justifies its higher charges on account of better facilities like operations from bus-stands, provision of relief buses in case of technical failure, and insurance of passengers. Apparently, they do not cut much ice with travellers.
Also, private buses take less time to reach their destination than MSRTC buses, an official admitted added. This is because they do not over-speed for safety reasons and stop only at specified bus-stands along the route. Rajiv Ghatole, MSRTC's Nagpur divisional controller, confirmed that both the semi sleeper buses were operating with very poor occupancy and making losses. Just because of these Volvo services, Nagpur division was incurring a loss of Rs 15 to Rs 20 lakh each month, he added.
Ghatole said, "MSRTC tried to provide a comfortable bus service with total safety of passengers. The buses are equipped with latest technology like GPS system, speed control, over speeding alerts, and have comfortable seats for overnight journey. Recently LCD monitors were also installed on them. Yet there are no takers for Shivneri."
Nagpur: Despite the fact that many private buses are involved in accidents and private players make a killing by increasing fares without giving insurance about safety and security, passengers have ignored towards MSRTC's elite air-conditioned 'Shivneri' Volvo buses on Nagpur-Hyderabad and Nagpur-Pune route.
Passengers said that they refused to travel by MSRTC's Volvo buses because of their exorbitant fares and the fact that only single bus operated from both sides as compared to parallel services by private operators. MSRTC has kept the fares fixed at Rs 1,210 for Pune and Rs 837 for Hyderabad while private players operating over 25 to 30 buses on Nagpur-Pune route have kept its fare from Rs 900 to 1100 and Hyderabad from Rs 700 to 750.
MSRTC had introduced 73 air-conditioned semi luxury Volvo buses in the state on various routes. Except for services of Dadar-Pune and Nasik-Pune route, buses on all other routes including Nagpur-Hyderabad and Nagpur-Pune are running in heavy losses, sources at MSRTC said.
A senior citizen Vidyadhar Sahare complained that although MSRTC services are reliable and safe, they don't give concession to senior citizens like in other buses. "The journey by MSRTC buses is time consuming as they make halts at every bus stand for 10 to 15 minutes. Private buses takes less time to reach to their destination and that too at cheaper fares," he added.
Another passenger Nilay Amin said that apart from fares, MSRTC bus stands toilets are not clean and drinking water and other facilities like canteen are unavailable for passengers. "Although private operators charge more in festival season, but at present they have economical fares. The private buses stop at fixed eateries which provide passengers good food," he said.
Echoing similar views, Mayatai Kadwe said, "Last time I she tried to book MSRTC's Volvo bus ticket, she was denied senior citizens' concession. They said the facility was not available in Pune buses. Therefore, I took the train where I got concession."
MSRTC senior officials also admit that facilities such as senior citizens' concessions, competitive fares and good amenities at halts would go a long way in attracting citizens.