The Maharashtra government has hiked bus fares by 13.56% in the face of substantial increase in petrol and diesel prices due to the on-going West Asia conflict.
The new rates will come into effect from July 18 onwards, and with that the earlier 10% seasonal fare hike on ordinary buses will be withdrawn.
"The State Transport Authority has approved the Maharashtra State Road Transport Corporation's (MSRTC) proposal to increase bus fares by 13.56%," Pratap Sarnaik, Transport Minister said in a statement.
He added that the fare hike became inevitable in light of rise in diesel prices caused by the prevailing international war-like situation, the increase in various allowances for MSRTC employees, and the higher cost of vehicle spare parts and tyres.
The implementation of the increase in fares has been done in a way that ensures that the financial burden on passengers is kept to a minimum, Sarnaik emphasised.
"This decision is important to enable the corporation to continue providing safe, quality and uninterrupted services to the people of the state, while also strengthening MSRTC's financial position," he said.
According to MSRTC, the fare increase was unavoidable to ensure the corporation's financial sustainability while continuing to provide safe, reliable, and uninterrupted services to passengers.
The corporation underscored that rising operating costs had placed considerable financial strain on its day-to-day functioning, making the fare revision necessary to maintain services for the millions of passengers who rely on ST buses across Maharashtra.
MSRTC added that the revised fares would help boost and sustain ST services while ensuring the continuation of essential passenger amenities, safety standards, and quality service.
Oil Market Rollercoaster
Oil prices have been on frenzy and spiralled dramatically ever since the United States and Israel launched joint air strikes on Iran on Feb. 28.Global benchmark brent crude has time and again crossed the landmark $120 per barrel level in the past two months.
In recent days, crude oil has retreated past $90 per barrel mark though it remains highly sensitive to developments in West Asia and movement of ships through the Strait of Hormuz.
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