CSTC draws up 3-pronged strategy to become self-reliant

State-owned transporter CSTC has chalked out a three-pronged strategy to become self-reliant and transform into a modern agency serving the city.
"We have drawn a three-prong strategy towards gradual self -reliance. Monetising real-estate assets, modernisation with aim to push revenue and reducing manpower are the strategies," Calcutta State Transport Corporation (CSTC) Managing Director Bhishmadeb Dasgupta told PTI.
Aiming to generate an operating profit of Rs 8 crore for FY15, CSTC has already registered a Rs 5 crore surplus in the August 14-January 15 period, he said.
"In the 2015-16 fiscal, we are targeting Rs 3 crore in operating profits every month backed by the measures adopted.

"The air-conditioned bus fleet is generating higher cash flow. We are also introducing modern systems like smart card and App-based GPS positioning for the entire fleet. These will help get us more passengers and minimise fare pilferage," Dasgupta said.
CSTC had initiated the process of monetising its real estate holdings.

"We have already identified four bus depots at Garia, Thakurpukur, Nilgunj (Barrackpore) and Sarsuna for commercial development as part of the first phase of monetising real estate holdings," he said.
"By March, tenders will be floated for the three depots, which are on average 14-15 acres in size," he said.

KPMG is advising the corporation in this regard.
Dasgupta said that the CSTC model will be different from that of the Calcutta Tramways Corporation as it will remain co-owner of the land and allow partners for commercial exploitation to maximise cash flow.
Meanwhile, the agency is also looking to offer another round of the VRS scheme as it seeks to reduce manpower by a further 200 staffers. CSTC hopes these steps will reduce dependence on government funds for salary.
"After being able to reduce the dependence level from 75 per cent to a comfortable zone, we will look to write-off the accumulated losses, which have swelled to about Rs 200 crore," the CSTC managing director said.